Upbit Launches Korean Won, BTC, and USDT Trading Pairs to Enhance Market Liquidity

Upbit, South Korea's largest cryptocurrency exchange, has expanded its trading pairs to include Korean won (KRW), Bitcoin (BTC), and Tether (USDT). This development aims to enhance market liquidity and provide traders with more options for executing large-volume transactions.

The introduction of these new pairs aligns with Upbit's broader strategy to integrate institutional-grade trading tools into its platform. By offering KRW-denominated trading for BTC and USDT, the exchange is addressing the needs of both retail and institutional participants in the Korean crypto market. The move also reflects growing demand for advanced order execution methods in the region.

Upbit has also launched Time Weighted Average Price (TWAP) orders as part of its trading enhancements. TWAP orders allow users to split large trades into smaller, time-distributed transactions. This feature helps mitigate market impact and improve average execution prices. The functionality is available for order sizes ranging from 1 million KRW to 50 billion KRW.

Why Did This Happen?

The implementation of TWAP orders on Upbit is part of a broader shift in the cryptocurrency market toward sophisticated trading tools. Historically, such features were limited to traditional financial markets. Now, with the rise of institutional participation in crypto, exchanges like Upbit are adapting to meet evolving trader needs.

Upbit's decision to support both market and limit TWAP orders provides greater flexibility to traders. Market TWAP executes at prevailing prices during each interval, while limit TWAP allows users to set price boundaries. This approach caters to a wide range of trading strategies and risk profiles.

How Did Markets Respond?

Algorithmic trading already accounts for a significant portion of Upbit's trading volume. Prior to the TWAP implementation, algorithmic trades made up around 35% of Bitcoin-KRW pair volume. Analysts suggest that the introduction of TWAP may further increase this share as more traders adopt the feature.

Market microstructure experts predict several potential benefits from TWAP adoption. These include tighter bid-ask spreads, reduced volatility during Asian trading hours, and more stable trading volume metrics. However, these effects will require further validation through real-world market data.

What Are Analysts Watching Next?

Institutional adoption of TWAP orders is expected to accelerate in the coming months. Financial technology analysts note that algorithmic trading tools typically precede increased institutional participation. Upbit's move is likely a response to growing demand from Korean asset managers and family offices looking to enter the crypto market.

Upbit's implementation of TWAP orders is also aligned with South Korea's updated digital asset regulations. The exchange has designed the feature to comply with the Financial Services Commission's 2024 guidelines. These regulations require detailed audit trails and transparency mechanisms for algorithmic trading activities.

Upbit has also launched extensive educational resources to support TWAP adoption. These include tutorial videos, interactive simulations, and risk management guides. The user interface has been updated to include TWAP controls within existing order windows, ensuring a smooth transition for existing users.

The exchange plans to expand TWAP functionality to additional trading pairs in 2026. This gradual rollout will depend on regulatory approval and market feedback. The move is expected to strengthen Upbit's competitive position in the Korean crypto market.