South Korean retail investors have ignited a significant investment trend by channeling nearly $450 million into Circle (CRCL) stock in June 2025. This colossal inflow positions Circle’s stock as the most heavily purchased overseas equity by South Korean investors this month and among the top four year-to-date.
Circle is widely recognized as the issuer of USDC, a leading regulated stablecoin, presenting a relatively stable and regulated investment alternative compared to prior favored volatile cryptos like Ripple (XRP) and Dogecoin (DOGE). The surge reflects a shift in the investment landscape, suggesting South Korean retail investors may be seeking less speculative, more fundamentally grounded crypto-related assets with regulatory clarity.
The phenomenon conjures comparisons to the classic Kimchi premium — the historically observed premium on cryptocurrencies traded in South Korea versus global exchanges due to factors like capital controls, high local demand, and supply constraints.
Circle’s stock success also garnered attention on Wall Street, where since its IPO on June 5, 2025, the stock has surged over 600%, making it one of the most successful billion-dollar IPOs recently. Although there was a minor 15% pullback, the stock resumed gains, bolstered by its business model that earns interest income on USDC reserves and by synergy benefits with Coinbase, which receives a significant revenue share related to USDC.
Both Circle and Coinbase face potential impacts from Federal Reserve interest rate decisions and upcoming stablecoin regulatory legislation. The big rally emphasizes growing investor confidence in stablecoin-related infrastructure, signaling potential for more crypto firms to consider public offerings.
While the inflow into Circle stock may indicate maturation and diversification of South Korean crypto investments, risks persist regarding speculative-driven volatility and regulatory scrutiny. Investors are advised to conduct careful due diligence amid this evolving trend.