Warnings against jumping into virtual assets investment as risks of volatility increase due to unstable exchange rates

[Anchor]

The price of Bitcoin, which surged over 30% just a week after former President Trump’s re-election, has recently paused for a few days before rising again, indicating that the excitement is not cooling down.

For those wondering if this is the last chance, it is important to be cautious with investments due to the volatility of such assets.

This is Hwang Kyung-joo reporting.

[Report]

There is a domestic virtual asset with the same name as the K-pop group BTS's agency, 'HYBE'.

Recently, its price rose by about 60% in just one day before dropping back down.

As news of BTS's return to activities next year emerged, it experienced a surge similar to HYBE's stock, but in reality, there was no connection to BTS or any good data.

As Federal Reserve Chairman Powell showed a cautious stance on interest rate cuts, the virtual assets that were benefiting from Trump's re-election effect have entered a period of consolidation, but the market remains hot.

[Virtual Asset Investor/Voice Altered: "It feels like only Korea is at war, with the entire KOSPI and KOSDAQ indices continue to drop. I often think that the amount being traded is even less than that of the coin market."]

As of the 15th, the daily spot trading volume of the top five domestic virtual asset exchanges was 17.3 trillion won, comparable to the trading amounts of KOSPI and KOSDAQ.

There are expectations that prices will rise further once Trump's second term officially begins, but there are also things that need to be kept in mind.

For virtual assets to become a strategic asset in the U.S. as promised by Trump, there is still a long way to go, including the passing through Congress.

Considering the fluctuating exchange rate of the won-to-dollar around the 1,400 mark, volatility is expected to increase.

[Hong Gi-hoon/Professor, Hongik University Business School: "Investing now means you are betting on volatility. The issue is the exchange rate. Because the exchange rate is changing so rapidly, the risk of price movements due to the exchange rate is even greater."]

It is also important to note that prices may drop as quickly as they rise, or there may be attempts at price manipulation taking advantage of the overheated market.

Financial authorities have recently sent a notice to virtual asset exchanges to strengthen monitoring of items with sudden spikes in price and trading volume.

This is KBS News, Hwang Kyung-joo reporting.