Bithumb Exchange

Bithumb is one of South Korea's oldest and most recognized cryptocurrency exchanges, having operated since 2014. At its peak in 2017–2018, Bithumb was briefly the world's largest crypto exchange by trading volume. Despite a turbulent history that includes multiple hacks and leadership controversies, Bithumb has retained a significant user base and remains one of the top three Korean exchanges by volume.

History and Background

Bithumb was founded in 2014 under the name Xcoin, later rebranding to Bithumb in 2015. It grew explosively during the 2017 bull market — at one point accounting for over 20% of global Bitcoin trading volume. This extraordinary growth was partly driven by the intense retail enthusiasm for cryptocurrency in South Korea, where crypto trading became a mainstream cultural phenomenon.

Bithumb has experienced several significant security incidents: a 2017 hack where customer data was compromised, a 2018 hack losing approximately $31 million in cryptocurrency, and another incident in 2019 where $20 million in EOS was stolen. Each time, Bithumb compensated affected users, which helped preserve some trust despite the incidents.

The exchange has also faced regulatory scrutiny and ownership controversies, with its parent company BTC Korea going through several ownership disputes. Despite these challenges, Bithumb completed VASP registration with Korea's FIU and continues to operate as a major platform.

Key Company Facts

Key Features

High KRW Trading Volume

Despite losing its #1 position to Upbit, Bithumb still generates enormous KRW trading volume and frequently ranks second in Korea. Its order books for BTC/KRW, ETH/KRW, and many altcoin pairs are among the most liquid in the country, offering tight spreads for large trades.

Bithumb Global

Bithumb operates Bithumb Global as a separate platform for international users who cannot access the Korean KRW markets. Bithumb Global supports USDT-denominated trading and serves users in Southeast Asia, Europe, and elsewhere. This dual-platform approach allows Bithumb to serve both domestic and international markets under different regulatory frameworks.

Competitive Fee Tiers

Bithumb uses a volume-based tiered fee system. High-volume traders can access fees as low as 0.04%, which is competitive with global leaders. The base taker fee of 0.25% applies to lower-volume users, but even this is reasonable for a regulated KRW exchange.

Bithumb Pro (Advanced Trading)

Bithumb offers an advanced trading interface called Bithumb Pro with order book depth visualization, multiple chart timeframes, and API access for algorithmic traders. This caters to the more sophisticated segment of Korean retail traders who want more than a basic buy/sell interface.

Fee Structure

Pros & Cons

Summary

Bithumb's history is a cautionary tale about exchange security — three hacks in three years is a significant red flag, even if users were compensated each time. However, the exchange has survived where many others would have collapsed, and its continued operation under FIU VASP registration demonstrates regulatory compliance.

For Korean traders with significant volume who can benefit from the low tiered fees, Bithumb is worth considering alongside Upbit. For newcomers or security-conscious users, Upbit is generally the safer first choice in the Korean market. Bithumb Global is a reasonable option for international users seeking exposure to the Korean crypto ecosystem without a KRW bank account.