South Korea's Upbit Challenges U.S. Blockchain Supremacy with Giwa Launch

Upbit, South Korea’s largest cryptocurrency exchange by trading volume, has announced the launch of Giwa, an Ethereum layer-2 blockchain, marking a strategic expansion beyond its core exchange operations. The news was revealed at the Upbit D Conference 2025, where the company outlined its vision for a more accessible and efficient Web3 infrastructure. Giwa, short for Global Infrastructure for Web3 Access, is built on the Optimism Foundation’s OP Stack, aiming to achieve one-second block times while maintaining the security benefits of the Ethereum network. The blockchain is designed to support near-real-time transactions, a critical feature for enhancing user experience and fostering broader adoption of decentralized applications.

Giwa Sepolia, the testnet version of the blockchain, has already processed over 4 million blocks, suggesting the chain may have been in operation for some time prior to its official announcement. The testnet includes development tools to enable the migration of Ethereum Virtual Machine-compatible smart contracts, indicating a focus on developer accessibility and compatibility. A block explorer for tracking testnet activity is already live, providing transparency and real-time insights into the chain’s performance. The flexibility of Giwa’s design ensures it can adapt to ongoing advancements in the Optimism Foundation’s open-source technology stack.

In addition to the Giwa Chain, Dunamu, Upbit’s parent company, has introduced the GIWA Wallet, a mobile application designed for digital asset storage and transfers across multiple blockchain networks, including Ethereum, Base, Arbitrum, Avalanche, and Polygon. The wallet is currently available for demo use and will expand its blockchain support in the future, according to Dunamu. While an official launch date for the wallet has not been set, the company emphasized its commitment to providing localized blockchain solutions to support Korean developers and users.

The launch of Giwa positions Upbit to compete with other major players in the decentralized infrastructure space, such as Coinbase’s Base and Binance’s BNB Chain. The South Korean market has been a significant growth driver for the global crypto industry in 2025, with the Chainalysis 2025 Global Adoption Index reporting that South Korea recorded the second-largest on-ramp volume of $1 trillion between July 2024 and June 2025, trailing only the U.S. at $4.2 trillion. Upbit, which accounts for approximately 73% of the country’s crypto trading volume, is poised to leverage this momentum through its Web3 infrastructure initiatives.

Dunamu highlighted the cultural significance of the name "Giwa," drawing a parallel between the blockchain and traditional Korean roof tiles, which are layered to form durable structures. The company stated that GIWA Chain is intended to stack data securely, supporting smart contract-based applications. The move also reflects a broader strategy to reduce the dominance of U.S. and Singapore-based blockchain ecosystems and to foster a stronger local Web3 industry in South Korea.