South Korea’s Upbit Exchange Teases New Blockchain ‘Giwa’

Upbit is potentially preparing to launch a new L2 Blockchain, calling the project “Giwa.” It’s unclear what its capacities will be, but a larger announcement should be forthcoming in a few hours.

Theorists have identified a few models that this project could use to best maximize South Korea’s global Web3 liquidity. For now, though, any of these predictions could be completely wrong.

What is Upbit’s Plan for Giwa?

Upbit is currently one of South Korea’s most successful exchanges, and its token listings have a substantial impact on asset prices.

As such, although its announcement has been vague, Upbit’s quiet release of an enigmatic “Giwa” website with a live countdown has already stirred up a lot of attention.

This Giwa countdown gives a few details about Upbit’s intentions with the project, with a motto of “trusted structure, not just shape.” Its URL also directly references UDC, the impending Upbit Developer Conference, leading the community to expect a full presentation at this event.

Still, for right now, Upbit has been extremely tight-lipped about Giwa details; other than the counter, the only other official statement is a small notice on its Korean-language website. That is to say, we aren’t even totally sure if it’s an L1 or L2 blockchain.

A Few Possible Blockchain Futures

Nonetheless, the community has already been speculating about this potential development. Analysts recently theorized that South Korean regulatory requirements may force Upbit to launch an L2 blockchain only, limiting Giwa’s potential.

However, it could become a major vehicle for won-backed stablecoins, which are growing in popularity.

Giwa could also allow Upbit to leverage more of South Korea’s substantial currency liquidity. By creating a domestic blockchain ecosystem, the exchange could create a major new onramp for retail and institutional investors entering Web3.

Interoperability and openness would be key for this plan, making L2 chains seem like a likely choice.

Unfortunately, any claims about Giwa’s overall capabilities will be pure speculation until Upbit’s full announcement. Still, this community hype is a good sign. If the exchange can maintain consumer interest during the actual rollout, this could be a huge development for Upbit.