Son Min

Wang Yi, China's foreign minister, was reported to have said that he hopes to prepare for a U.S.-China summit. On the 27th (local time), according to Walter Bloomberg, Wang Yi, China's foreign minister, said, "hope to prepare for a U.S.-China summit," and said, "Xi Jinping, China's president, and Donald Trump, the U.S. president, respect each other."

An Indian court has barred the virtual asset (cryptocurrency) exchange WazirX from using customer assets on the platform to cover losses from a platform hacking. On the 27th (local time), The Block reported that the Madras High Court restrained WazirX from redistributing customer assets to recover the $230 million hacking loss that occurred in July 2024. The ruling specified that a user's holding of 3,532 XRP (approximately $9,400) could not be used to cover platform-wide losses. The bench stated, "The affected assets are ERC-20 tokens, while XRP is classified as an entirely different cryptocurrency," and found that WazirX's loss-sharing plan could not apply to XRP holders. The court framed the case as a matter of 'property rights.' In the judgment it said, "The XRP held by a user before the hack is that individual's property and cannot be diluted to make good for the exchange's operational failure." It also recognized virtual assets as "ownable property," clarifying that they can be protected as legal assets. Accordingly, the court ordered WazirX to deposit 956,000 rupees (approximately $11,500) as a bank guarantee or into an escrow account to protect customers. The decision is regarded as a representative case in India that recognizes the legal status of cryptocurrencies as property.

Last week, global virtual asset (cryptocurrency) investment products saw net inflows of $921 million (₩1.3193 trillion). On the 27th (local time), CoinShares said in a report, "Net inflows into crypto investment products last week were $5.95 billion," adding, "the U.S. September Consumer Price Index (CPI) on the 24th came in below expectations, increasing the possibility of further rate cuts." It went on, "With monetary policy direction becoming clearer for the first time since the government shutdown, crypto trading also surged," and "this week's global crypto exchange-traded products (ETP) trading volume was $39 billion, well above the year-to-date weekly average ($28 billion)." By asset, Bitcoin (BTC) products recorded the largest inflows. Bitcoin received $931 million, bringing cumulative net inflows since the last rate cut to $9.4 billion. However, year-to-date net inflows stand at $30.2 billion, still lower than last year's ($41.6 billion). Meanwhile, Ethereum (ETH) saw $169 million flow out over five weeks. The report said, "Ethereum experienced outflows throughout the week," but added, "2x leveraged ETPs are still attracting significant interest." Major altcoins showed positive flows. Solana (SOL)-based investment products had net inflows of $29.4 million last week. XRP also saw $84.3 million in inflows and showed a strong trend. However, the report assessed, "Although the launch of U.S. spot exchange-traded funds (ETFs) is imminent, investor sentiment has cooled." By country, U.S.-origin inflows were strong. U.S.-based crypto products alone saw about $843 million in net inflows, while Germany and Brazil received $502 million and $13.2 million, respectively. Conversely, Switzerland and Sweden saw net outflows of $358.9 million and $49.2 million, respectively.

U.S. Treasury Secretary Scott Bessent has released the list of five candidates for Jerome Powell's successor as Federal Reserve (Fed) chair. President Donald Trump said, "I will make a final decision before the end of the year." According to Bloomberg on the 27th (local time), Secretary Bessent said at an Air Force One briefing with reporters, "The current candidate pool has been narrowed to five: current Fed governors Christopher Waller and Michelle Bowman, former Fed governor Kevin Warsh, White House National Economic Council (NEC) director Kevin Hassett, and BlackRock executive Rick Rieder." He said, "We plan to conduct additional interviews after Thanksgiving and present a 'final slate (good slate)' to President Trump," and added, "We hope to complete the appointment process within this year." President Trump again criticized Powell, saying, "There is someone at the Fed right now who is 'not smart at all.'" He argued that "he is suppressing the economy by not cutting interest rates enough," and in the past had urged that the benchmark interest rate be cut by 3% points. He also confirmed his intention to keep the incumbent, saying, "There is no possibility that Secretary Bessent will take the Fed chairmanship." The next Fed chair is expected to be appointed along with a 14-year term on the Fed Board of Governors beginning in early 2026, and Powell's term as chair ends in May next year.

The digital identity project 'World (WLD)', led by OpenAI CEO Sam Altman, is again under investigation by regulators in Thailand. On the 24th (local time), Cointelegraph reported that the Thailand Securities and Exchange Commission (SEC) announced it conducted a crackdown on World’s iris scan sites jointly with the Cyber Crime Investigation Bureau (CCIB). The SEC said the probe was "based on allegations of illegal business operations related to WLD token services." It added, "Suspects were arrested and additional law enforcement procedures are underway." World's WLD is a virtual asset that is issued to users when they verify their identity through an iris scan. According to company materials, 102 official 'Orb' iris scan locations are operating in Thailand. World said on its official website, "WLD tokens are distributed only in regions where allowed by law," and explained, "Eligibility for receiving them is restricted by various requirements such as geographic location and age." It also said, "Token trading on third-party exchanges is not controlled by us." Cointelegraph requested comment from World’s developer Tools of Humanity regarding the crackdown, but had received no response at the time of reporting.

Prediction market platform Polymarket (Polymarket) has formalized plans to issue its own token 'POLY' and conduct an airdrop. With recent surges in trading volume and continued inflows of institutional capital, the prediction market industry is said to have entered a full-fledged growth phase. According to The Block on the 24th (local time), Matthew Modabber, Polymarket's Chief Marketing Officer (CMO), said, "Polymarket plans to issue its own token and will also conduct an airdrop." He emphasized, "We could have launched a token at any time, but we wanted to create a token with genuine utility and sustainability," adding, "This token should be usable in perpetuity." However, he said the current top priority is launching the U.S. app. He stated, "We will begin the token issuance procedures in earnest after resuming service in the U.S. market." Polymarket suspended operations in the U.S. in 2022 due to regulatory uncertainty, but this September founder Shayne Coplan said he had "received approval to resume service in the U.S."

Ripple(Ripple), Coinbase(Coinbase), Tether(Tether) and other major virtual asset (cryptocurrency) firms, and Gemini(Gemini) co‑founders Cameron and Tyler Winklevoss, are reported to have donated to President Donald Trump's new White House ballroom construction. On the 24th (local time), The Block reported that major virtual asset firms were included on the list of sponsors for the Trump administration's 'White House Ballroom' project. In addition, large technology companies such as Apple, Google, Microsoft, and Comcast were also reported to be listed. The White House officially announced the ballroom construction plan in July. The total area is approximately 90,000 square feet (about 8,360㎡), and it is a space that can accommodate more than 650 people. Construction began in September, and the total cost is estimated at about $300 million. President Trump described the project as "a visionary building that will symbolize America's cultural renaissance," but some criticized the process of demolishing the East Wing and pursuing it with private funds. The White House rebutted, saying, "The left and fake news forces are distorting the president's visionary project," and, "this ballroom is a historic undertaking being carried out entirely with private donations." The virtual asset industry is also regarded as having supported Trump's election by injecting large amounts of political funding in the 2024 U.S. presidential election. The political funding group 'Fairshake(Fairshake)', supported by Ripple and Coinbase, raised more than $200 million during the last election cycle to support candidates in key battleground areas.

Phase 1 of the deposit campaign run by Stable filled the target cap (hard cap) of $825,000,000 immediately after launch and closed. However, controversy has arisen amid allegations that major deposits were preempted by large wallets before the public opening. On the 24th (local time), DeBlock reported that Stable announced that "the phase 1 pre-deposit (pre-deposit) campaign had reached its cap." Under this campaign, users who deposit stablecoins such as Tether (USDT) receive incentives linked to future native tokens and ecosystem rewards. Stable said it attracted participation from institutional partners such as Frax Finance, Morpho Labs, Pendle, and LayerZero in this raising. However, some investors who analyzed on-chain data claimed that certain large wallets had completed large deposits before the public opening. One on-chain analyst pointed out, "Ten large wallets had already deposited 600 million USDT before the campaign start was officially announced." Another user claimed, "About 500 million USDT was transferred from an address linked to the BTSE exchange, accounting for over 60% of the total deposits." He criticized, "Can a campaign that was already closed before the public opening truly be called a 'public sale'?" and added, "Stable announced the campaign start at 1:13 (UTC), but the first deposit had already started at 0:48 and the final deposit was completed just one minute later at 1:14." Stable has not issued an official position regarding the controversy.

An analysis found that corporate Digital Asset Treasury (DAT·Digital Asset Treasury) strategies have absorbed large amounts of capital from the altcoin market. On the 17th (local time), Cointelegraph reported that market research firm 10X Research said in a report, "digital asset treasury firms have siphoned off about $800 billion of retail investor funds from the altcoin market," and "Korean investors were at the center of altcoin speculation, but have recently shifted their interest to U.S. crypto-related stocks." It added, "retail investors are investing in altcoin treasury firms," and "the $19 billion liquidation event that occurred on the 10th completely cut off altcoin momentum." A market official said, "the digital asset market is shifting to an institution-centered market," and "the return of funds to altcoins is unlikely to repeat as it did in the past."

Spot trading of virtual assets (cryptocurrency) on centralized exchanges (CEX), which plunged in the first half of this year, rebounded more than 30% in Q3. The continued Bitcoin uptrend is analyzed to have revived investor sentiment. On the 25th (local time), Cointelegraph reported that TokenInsight said in a report, "The total spot trading volume of the top 10 centralized exchanges in Q3 was $4.7 trillion, a 30.6% increase compared to the previous quarter." This suggests that volumes that had sharply fallen in the first half have returned to a clear recovery. Meanwhile, perpetual futures trading still accounted for the majority of the centralized exchange market. Q3 futures volume rose about 29% from $20.2 trillion in Q2 to $26 trillion. Binance maintained its position as the market leader in Q3, accounting for about 43% of total spot trading. Competitors MEXC and Bybit were each around 9%. Binance's share in the derivatives market also rose to 31.3% as of September. OKX and Bybit saw slight declines in share but remained second and third, respectively.

JPMorgan expects fintech firm Stripe, which is leading artificial intelligence (AI) and payment innovation, to secure more than $350 billion in market opportunities. On the 23rd (local time), according to The Block, JPMorgan said in a report, "Stripe has secured leadership in both AI-based commerce and digital asset infrastructure," and evaluated that "thanks to early collaboration with AI startups, it will become the core infrastructure of the forthcoming 'agentic commerce' era." It added, "As AI agents, stablecoins, and programmable money combine with global commerce, Stripe will be the biggest beneficiary." Stripe currently processes $1.4 trillion in annual payments across 195 countries, and recorded $5.1 billion in revenue, a 28% year-on-year increase, along with a return to net profit last year. Stripe has recently shown active expansion into virtual assets and stablecoin areas. It acquired stablecoin orchestration platform 'Bridge' and cryptocurrency wallet service 'Privy', and is developing the payments-focused layer-1 blockchain 'Tempo' in collaboration with Paradigm.

Reagan speech about tariffs included "Reciprocal tariffs cause market downturns" President Donald Trump said he would halt trade negotiations with Canada. He cited an "anti-tariff" TV advertisement aired in Canada as the reason for ending the talks. On the 23rd (local time), Trump declared on social media, "I am immediately terminating all negotiations with Canada." He said, "The Reagan Foundation has just announced that Canada aired a false ad that made it appear as if former President Ronald Reagan spoke negatively about tariffs." The ad in question was produced by the Ontario provincial government and argued that U.S. reciprocal tariffs on Canada would have long-term adverse effects on Americans' lives. It suggested that while imposing tariffs on foreign goods may seem to protect domestic jobs in the short term, it can ultimately lead to market downturns and large-scale unemployment. At the end of the ad, a clip of former President Reagan's speech is inserted, giving the impression that he opposed President Trump's tariff policy. The speech included in the video was a radio address Reagan gave in 1987 after the U.S. imposed a '100% tariff' on Japanese semiconductors. At the time, President Reagan criticized Japan for violating anti-dumping agreements and expressed his belief in supporting free trade. The Reagan Foundation issued a statement saying, "The ad distorts the president's remarks, and the Ontario government did not obtain any permission to use or edit the speech." President Trump criticized the ad, saying, "Canada produced the advertisement with the intent of influencing rulings by the U.S. Supreme Court and lower courts," calling it "a clear attempt at political interference." Recently, U.S. courts issued a ruling that the reciprocal tariffs imposed by the Trump administration were unlawful. The court held that "the International Emergency Economic Powers Act (IEEPA), which served as the basis for the reciprocal tariffs, grants the president authority to regulate imports but does not permit imposing tariffs by executive order without congressional authorization." The case is currently pending before the U.S. Supreme Court following an appeal by the Trump administration, and the first hearing is scheduled for November 5. President Trump said, "Tariffs are a key tool to protect U.S. security and the economy," and added, "I am terminating all negotiations in response to Canada's despicable actions." Reporter Hye-in Lee hey@hankyung.com

Rally driven by AI and fear of currency depreciation Morgan Stanley also raises semiconductor price targets↑ Korea's PER lower than US·China 'attractive' The KOSPI has been hitting record highs day after day at a terrifying pace. Fear of currency depreciation and confidence in the growth of the artificial intelligence (AI) market have combined, funneling investment money sharply into the stock market, particularly into the 'top two' semiconductor companies. Experts are predicting that this trend is likely to continue at least until the first half of next year, painting rosy forecasts that there is enough room to climb to the 4200~4400 level. ○ Rally led by 'AI believers' According to the Korea Exchange on the 24th, since September the stock prices of Samsung Electronics and SK Hynix have risen by 41.85% and 89.59%, respectively. The sharp rise in these two companies' stock prices quickly pulled the KOSPI from the 3500 level to the 3900 level. That day, the combined market capitalization of Samsung Electronics and SK Hynix exceeded 1000 trillion won for the first time in history. It nearly doubled in one year. This is because OpenAI has successively signed mega chip purchase contracts with NVIDIA (10 gigawatts), AMD (6 gigawatts), and Broadcom (10 gigawatts), strengthening the view that the AI-related market will explode in growth. Kim Tae-hong, CEO of Growth Hill Asset Management, said, "As NVIDIA invested massive funds in OpenAI and at the same time OpenAI started purchasing semiconductors, an 'AI-driven credit expansion' has begun," adding, "The volume of semiconductor chips OpenAI contracted for is about 10 times the current producible amount, so semiconductor demand will grow exponentially." Global investment bank Morgan Stanley, once dubbed a 'semiconductor grim reaper,' sharply raised its price targets that day: Samsung Electronics from 111,000 won to 120,000 won, and SK Hynix from 480,000 won to 570,000 won. This came just two weeks after raising Samsung Electronics' target price by 14% on the 10th. AI-related stocks also led the domestic market that day. As demand for energy storage systems (ESS) surged to build AI data centers, secondary battery sectors such as LG Energy Solution (9.94%) jumped sharply. Companies expected to benefit from power infrastructure investment for data center expansion, such as Iljin Electric (15.03%) and Hyosung Heavy Industries (2.81%), also rose significantly. Kang Dae-kwon, CEO of Life Asset Management, diagnosed, "Strong expectations that the AI market boom will continue and fear of currency depreciation are interacting to strongly drive the stock market." ○ "There is still room to go" Experts believe the KOSPI rally led by AI-related stocks will likely continue through the first half of next year. While a technical correction is likely after the sharp rise, they expect the market to recover and continue upward. Securities firms forecast a high likelihood that the KOSPI could reach the 4200~4400 level by the first half of next year. Kim Ji-young, head of the research center at Kyobo Securities, said, "Semiconductor corporate earnings are positive through the second quarter of next year, and with expectations that the government will introduce additional market-stimulating measures, the KOSPI could rise to the 4150~4200 level by the first half of next year." Although it rose rapidly, the Korean market is still cheap. The KOSPI's forward price-to-earnings ratio (PER) is 11.8 times. As of last week, Taiwan's Taiex and China's Shanghai Composite were 17.7 times and 13.8 times, respectively. Kim Tae-hong said, "If the KOSPI's forward PER rises to 13 times like during COVID-19, it could go to 4400." There are even cautious views that 5000 is not impossible. The prevailing expectation is that the ongoing rally will be led by existing leading AI-related stocks and sectors related to the advancement of capital markets such as holdings and finance. Cho Soo-hong, head of NH Investment & Securities Research Center, said, "As semiconductor earnings estimates continue to be revised upward, reaching the 5000 level by around the first half of next year is also possible." However, some pessimists argue that the 4000 level may be the peak. Lee Jin-woo, head of Meritz Securities Research Center, said, "The figure 'KOSPI 4000' already reflects the expected net profit of listed companies on the Korea Exchange rising to 240~250 trillion won next year," adding, "For the index to reach 5000, net profit would have to rise to at least the 300 trillion won level, and if that doesn't happen, the market could stall." Reporters Shim Seong-mi / Ryu Eun-hyeok / Seon Han-gyeol smshim@hankyung.com

A claim has emerged that the 'altcoin season' will not begin this year or next. On the 24th (local time), according to BeInCrypto, Gracy Chen, Bitget's chief executive officer (CEO), said, "The expected altcoin season will not arrive this year or next." He explained, "Altcoins suffered serious damage from the sharp plunge that occurred on the 10th," adding, "the situation has worsened as investments in web3 projects have already been depleted." He continued, "Altcoins, which are mainly traded by small investors, now bear excessive risk compared to potential returns," and elaborated, "the market needs time to recover now." However, he predicted that certain projects would still show strength. Chen said, "Assets with real use cases, such as stablecoins, real-world assets (RWA), and payment infrastructure projects, will survive."

Naver once again stated that there are no confirmed facts regarding recent reports that Dunamu would be incorporated into the Naver group. According to the Financial Supervisory Service's electronic disclosure system on the 24th, Naver filed a 'Clarification on rumors or reports (unconfirmed)' disclosure that day. According to the disclosure, Naver said, "Our subsidiary Naver Financial is discussing various cooperation plans with Dunamu, including stablecoin, unlisted stock trading, and share exchanges," but added, "Additional cooperation details or methods have not yet been finalized." It added, "We plan to re-disclose at the time specific details are finalized or within three months." This disclosure is a follow-up that came one month after Naver issued a clarification disclosure about reports of Dunamu's incorporation into the Naver group on the 25th of last month.