Dunamu, Upbit operator, sees 85% jump in operating income

Operating profit for Dunamu, the operator of South Korean crypto exchange Upbit, increased by 85.1% in 2024, likely due to Bitcoin's halving and pro-crypto policies in the United States.

Dunamu, the company that runs the South Korean crypto exchange Upbit, had a successful year in 2024, as its most recent earnings report indicates that improved investor sentiment and significant crypto events may have contributed. The company's revenue and profit saw significant increases during this time.

The company's regulatory filing shows that its revenue for 2024 reached KRW 1.7316 trillion (approximately $1.3 billion), representing a 70.5% increase compared to the previous year. The operating profit saw an even larger increase of 85.1%, reaching KRW 1.1863 trillion, while net income rose by 22.2%.

Dunamu identified several potential reasons for this growth, stating that "Bitcoin halving and improved investor sentiment" played a significant role. The anticipation of pro-crypto policies in the United States may have also contributed. The company specifically mentioned "anticipation of pro-crypto policies following Donald Trump's election" and the Fed's rate-cut stance, which "appear to have significantly contributed."

Upbit's recent earnings report comes just as the exchange receives a reprieve in its legal battle. A South Korean court has temporarily lifted a three-month business suspension that prevented the exchange from onboarding new clients.

In February, the country's Financial Intelligence Unit (FIU) sanctioned Upbit, blocking deposits and withdrawals for new users, alleging that the exchange violated rules by dealing with unregistered virtual asset service providers.

Dunamu quickly responded by filing a lawsuit against the FIU to challenge the suspension and seeking an injunction to lift the ban. On March 27, local news outlets reported that a Korean court granted the injunction, postponing the suspension until 30 days after a final ruling.