South Korea’s Largest Crypto Exchange Expands Beyond Trading With Blockchain Infrastructure
South Korean cryptocurrency exchange Upbit has unveiled its new Ethereum Layer-2 solution, Giwa, now live on testnet. The launch signals a major step for the exchange as it moves from being solely a trading platform to building blockchain infrastructure that could redefine Web3 adoption in South Korea and beyond.
Giwa Testnet Debuts With One-Second Block Times
Announced at the Upbit D Conference 2025, Giwa — short for Global Infrastructure for Web3 Access — is built using the Optimism Foundation’s OP Stack. According to its documentation, Giwa achieves one-second block times while inheriting Ethereum’s security for transaction settlement.
“Our vision is to make Web3 infrastructure easy and enjoyable for everyone,” the Giwa team stated in translated documents. The testnet, called Giwa Sepolia, already supports Ethereum Virtual Machine (EVM) compatibility, migration tools for developers, and a functioning block explorer tracking activity.
Competing With Exchange-Built Blockchains
Upbit’s move places it alongside other exchanges such as Coinbase, which launched Base in 2023, and Binance, which built BNB Chain in 2019. Both platforms successfully onboarded developers and decentralized applications (dApps).
“Launching an L2 allows exchanges to create deeper ecosystems that engage users beyond trading,” said a Seoul-based blockchain researcher. “It’s a natural evolution as competition intensifies in the Asian crypto market.”
The name Giwa is inspired by the traditional curved tiles on Korean palaces and temples, symbolizing heritage and protection — a reflection of Upbit’s ambition to build enduring blockchain infrastructure.
South Korea’s Expanding Role in Crypto Adoption
With 73% of domestic market share and $2.5 billion in daily trading volume, Upbit is already South Korea’s dominant exchange. The country itself ranks second globally in on-ramp crypto volume, recording $1 trillion between July 2024 and June 2025, according to recent adoption data.
The Giwa testnet has already processed over 4 million blocks, suggesting strong early momentum. While a mainnet launch date remains unconfirmed, analysts believe Giwa could position South Korea as a key hub for Ethereum scaling solutions.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.