Cryptocurrency Prices Plummet Following Martial Law Declaration in South Korea

Cryptocurrency prices plunged on Upbit, South Korea’s largest crypto exchange, as the country’s president, Yoon Suk-yeol, declared an emergency martial law Tuesday night around 10:30 p.m. local time.

President Yoon announced in a televised address that the emergency martial law was being enforced to “safeguard a liberal South Korea from the threats posed by North Korea’s communist forces and to eliminate anti-state elements,” according to CNN.

Martial Law Context
Martial law in South Korea refers to the imposition of direct military control over civilian government functions, typically in response to a significant threat to public order. According to local news outlet Hankyoreh, the last emergency martial law declaration in South Korea was in 1980.

The declaration triggered a majority of cryptocurrencies to plummet on Upbit, Bithumb, and Coinone, the country’s most widely used crypto exchanges. Bitcoin dropped around 12% on Upbit at one point, while Tether USDT once decreased to 1,200 Korean won, around 84 cents. Double-digit falls were also noted in most altcoins, including Ripple (XRP), Shiba Inu, and Dogecoin.

The Upbit Market Index, which measures the performance of the exchange's top 30 market-cap tokens, fell 13.28% in the past day.

Upbit’s mobile trading app is currently inaccessible, likely due to a surge in traffic.