South Korea's Upbit Rides GIWA to Redefine Ethereum’s Speed Limit

Upbit, South Korea’s largest cryptocurrency exchange by trading volume, has officially launched GIWA, an Ethereum Layer 2 blockchain designed to improve the speed and usability of Web3 applications. The launch was confirmed during the Upbit D Conference 2025, which took place on September 9 in Seoul. GIWA leverages the Optimism Foundation’s OP Stack to enable one-second block times and inherit Ethereum’s security while optimizing transaction settlement efficiency. The platform aims to make blockchain infrastructure accessible and user-friendly, with a focus on enhancing the developer and end-user experience.

GIWA’s architecture is designed to complement Ethereum’s scalability limitations. By building on the OP Stack, GIWA allows for seamless integration with Ethereum tools and smart contracts while maintaining security through final settlement on the Ethereum mainnet. This approach reduces transaction costs and increases throughput, addressing common criticisms of high fees and slow processing times on the Ethereum network. The platform is fully compatible with the Ethereum Virtual Machine (EVM), allowing developers to deploy smart contracts without significant modifications to existing codebases. This compatibility is expected to attract a broad range of developers seeking to build on a faster and more affordable Layer 2 solution.

Development tools and infrastructure for GIWA have already been made available through a public testnet known as Giwa Sepolia. The testnet has processed over 4 million blocks, indicating significant early activity. Developers can use the testnet to experiment with smart contracts and track transactions through a functional block explorer. The testnet’s rapid block time of one second is a key feature that differentiates GIWA from other Layer 2 solutions, potentially making it an attractive option for high-frequency transactions and real-time applications.

Upbit’s parent company, Dunamu, has taken steps to formalize the GIWA brand by filing multiple trademark applications. These filings suggest a long-term strategic move beyond traditional exchange operations into infrastructure development. The move aligns with a broader trend among major crypto exchanges, including Coinbase’s Base, Binance’s BNB Chain, and OKX’s OKChain, which have all launched their own Layer 2 or blockchain networks to expand their ecosystems and capture developer mindshare.

South Korea has emerged as a key market for cryptocurrency adoption in 2025, with Upbit dominating the domestic exchange landscape. According to CoinGecko data, Upbit accounted for approximately 73% of South Korean crypto trading volume in the last 24 hours, with a trading volume of $2.5 billion. The Chainalysis 2025 Global Adoption Index also highlighted South Korea as having the second-largest on-ramp crypto volume between July 2024 and June 2025, trailing only the United States. With GIWA’s launch, Upbit aims to strengthen its position in the local market and support the development of Asian-native decentralized financial applications.

GIWA introduces additional features to enhance user experience and identity management. The platform includes a Soulbound Token (SBT)-based identity system called GIWA ID, which is designed to verify user identities and link them permanently to specific wallets. The SBT approach prevents identity transfer or resale, offering a more secure and trustless verification method. Users with unresolved verification issues are given a 90-day grace period to rectify problems before their GIWA IDs are revoked. These identity tools are expected to support regulatory compliance and improve user trust in the platform.

The launch of GIWA positions Upbit to compete more effectively in the global infrastructure race, where major players are vying for dominance in blockchain development and user adoption. With Ethereum’s growing ecosystem and the increasing demand for scalable solutions, GIWA’s combination of speed, security, and developer accessibility could attract a wide range of applications and users. As the platform moves toward a mainnet launch, further details about governance, tokenomics, and long-term roadmap are expected to be revealed by the development team.

Source: [1] Upbit Launches GIWA Chain Blockchain Announcement (https://cryptobriefing.com/upbit-launches-giwa-chain-blockchain-announcement/) [2] South Korean Crypto Exchange UpBit Launched Ethereum L2 (https://cointelegraph.com/news/south-korea-crypto-exchange-ubit-launches-ethereum-l2) [3] Upbit Parent Files "GIWA" Trademarks Amid Rumors of New Blockchain Launch (https://www.coindesk.com/web3/2025/09/08/upbit-parent-files-giwa-trademarks-amid-rumors-of-new-blockchain-launch) [4] Upbit Rumored to Launch GIWA Layer-2 Chain on Ethereum (https://finance.yahoo.com/news/upbit-rumored-launch-giwa-layer-210610619.html) [5] Upbit Introduces GIWA as an Ethereum Layer 2 to Lower Costs (https://cryptorank.io/news/feed/55b00-upbit-introduces-giwa-blockchain)