Bithumb's share price has plummeted in over-the-counter trading following a Bitcoin overpayment incident, with the cryptocurrency exchange also losing market share amid concerns over internal controls.
According to Securities Plus, an unlisted stock trading platform, Bithumb shares traded at 225,000 won as of 2 p.m. on the 9th, down 10.7% from the previous trading day. The exchange's estimated market capitalization fell to approximately 530.8 billion won, a decline of 63.7 billion won from the 6th when the overpayment incident occurred. Bithumb's sharp decline contrasted with rival Dunamu, the nation's largest cryptocurrency exchange operator, which rose more than 6% in OTC trading on the same day.
Bithumb's market share has also declined as trust in the platform wavers. According to CoinGecko, Bithumb held a 37.4% market share as of January 1 this year, but that figure dropped to 29.8% as of 2 p.m. on the 9th. At one point on the 8th, the share fell to 22%. Market observers note that when Bithumb mistakenly distributed Bitcoin worth approximately 60 trillion won on the evening of the 6th, the resulting Bitcoin price crash caused losses for some customers, likely contributing to the exodus.
"Bithumb has experienced a series of large and small incidents while running various promotional events to expand market share," a financial industry source said. "This overpayment incident will likely prompt many users to switch exchanges altogether."
Analysts say the incident has heightened uncertainty across Bithumb's business operations, including its initial public offering plans. Bithumb selected Samsung Securities as its IPO underwriter in 2023 and has been pursuing a KOSDAQ listing in the first half of this year. In August last year, the company established a new entity called "Bithumb A" through a corporate split to position itself for valuation based on its exchange business. However, concerns are emerging that this incident could burden the listing review process.
The exchange still faces the challenge of recovering 125 mistakenly distributed Bitcoins worth approximately 13 billion won. Of this amount, about 3 billion won has already been sold and withdrawn as cash, while roughly 10 billion won was reportedly used to purchase other crypto assets. Bithumb is contacting individuals to persuade them to return the funds, but market observers expect the company will have no choice but to pursue legal action if recovery efforts fail.
Legal experts suggest that while prosecuting recipients for embezzlement of lost property may prove difficult, civil lawsuits seeking return of unjust enrichment have a reasonable chance of success. They argue that since the promotional event clearly specified prizes of 2,000 to 50,000 won per person, recipients of large Bitcoin amounts could reasonably have recognized the windfall as unjust enrichment.
Even in such cases, however, recovery remains challenging. "Recipients should return the Bitcoin as they received it, but since many have already sold at lower prices, customers could face losses depending on price fluctuations," explained Kwon Oh-hoon, an attorney at Cha & Kwon Law Firm.