As the cryptocurrency landscape continues to evolve, a recent report by Chainalysis indicates that AI-related cryptocurrencies are poised to dominate South Korea’s crypto market by June 2026, surpassing payment-centric assets like XRP. This change reflects a significant shift in retail trading preferences within a country renowned for its historical ties to Ripple’s XRP.
The Chainalysis report analyzed cryptocurrency transactions occurring from July 2025 to June 2026, specifically focusing on won-denominated transaction volumes across various thematic categories.
East Asia’s $1.2 trillion-plus crypto economy exhibits surprising diversity. South Korea ($449 billion) led in pivoting to AI cryptocurrencies, Hong Kong saw 87% organic growth, Japan’s retail market expanded 36% in DEXs, and China’s stablecoin P2P wallets grew 43x. Read the new chapter from 2026…
— Chainaosis (@chainaosis) October 5, 2026
The report sheds light on a recent review conducted by Ripple and Meritz, which explores the infrastructure necessary for custody and tokenization in the cryptocurrency space. Importantly, the perspective painted by these findings highlights a divide between market narratives and the real-world application of products.
While AI tokens have surged in prominence within the Korean market, it doesn’t equate to a diminished role for Ripple’s XRP. Chainalysis’s data underscores that AI has emerged as a leading thematic category, yet XRP’s trading activity has not diminished, signaling that Ripple continues to expand its corporate partnerships without definitive proof of a decrease in demand for XRP.
Leading the AI Cryptocurrency Surge in South Korea
(Source: CoinGecko)
According to Chainalysis, AI-focused cryptocurrencies are set to become the most sought-after investment category in South Korea by mid-2026. This classification includes assets tied to AI-focused initiatives and infrastructures, measured through won-denominated transaction volumes—a specific metric not encompassing total cryptocurrency activity in the country.
- World Coin (WLD) – $7.41 billion
- SAHARA – $3.2 billion
- VIRTUAL – $2.7 billion
- BIO – $2 billion
- NEAR – $1.7 billion
The competitive landscape of AI tokens has also shifted since 2025, with historically leading tokens like VIRTUAL and KAITO now challenged by Worldcoin and SAHARA in terms of trading volume.
Notably, Korean retail traders are gravitating towards AI cryptocurrencies at a rapid pace compared to their counterparts in other nations analyzed by Chainalysis. This trend highlights the potential for swift shifts in thematic leadership as trading dynamics evolve.
Over the measured period, South Korea’s broader cryptocurrency market exhibited growth, with Chainalysis noting a 12.3% rise in total activity, estimating it at around $449 billion. Concurrently, the local exchange ecosystem saw a growth of 16.3%. These figures reflect a broader market expansion, yet do not single out XRP as a contributor to this growth, nor imply that profits were equally distributed among all tokens available for trade.
The Implications of the AI Shift for Ripple and XRP
Huge: South Korea is preparing to bring $7 trillion worth of stocks, bonds and funds onto blockchain rails starting February 2027. $AVAX $XRP
And there are already two ecosystems with serious ties to South Korea…
Hanwha Investment & Securities has built a huge tokenized securities… pic.twitter.com/DO2Y5C1DLr
— ALLINCRYPTO (@RealAllinCrypto) October 3, 2026
In June 2026, the trading of AI cryptocurrencies in South Korea surged past other currency categories, notably showing that the won had a penetration rate 19.5 times greater than that of the yen. Specifically, AI virtual currencies constituted 0.91% of yen-denominated transactions, 1.02% for the euro, 0.20% for the Brazilian real, and 0.03% for the British pound.
This emerging trend is widely attributed to South Korea’s active engagement in the AI investment cycle, particularly driven by influential players like SK Hynix, a leader in memory chip manufacturing. Retail investors have demonstrated significant enthusiasm for AI tokens, further amplifying their market presence.
Despite the current prominence of AI assets, this dynamic does not suggest that Ripple’s XRP has become less significant in South Korea. The ongoing review between Ripple and Meritz remains in initial stages, with the actual volume and utility of XRP yet to be confirmed.
While the market for AI-related assets indicates a robust traction among retail investors, future developments—such as released products and commercial applications—will ultimately clarify the standing of Ripple and its cryptocurrency, XRP.
