In a notable shift from recent trends, South Korean investors have turned their attention away from the dominant U.S. tech giants—commonly known as the “Magnificent 7”—and toward cryptocurrency-related stocks. In June 2025, Circle Internet (CRCL) and Coinbase (COIN) emerged as the top two foreign stocks in net buying by domestic investors, signaling growing enthusiasm for digital assets, particularly stablecoins.
This marks the first time since September 2024 that non-M7 stocks have claimed the top two spots in monthly net purchases. The Magnificent 7—Apple, NVIDIA, Microsoft, Tesla, Amazon, Alphabet, and Meta—have long dominated South Korean investors’ portfolios. However, a surge in market interest around blockchain infrastructure, digital currency regulation, and decentralized finance (DeFi) has reshaped investment priorities.
A New Wave of Investor Interest in Crypto-Linked Stocks
According to data from the Korea Securities Depository as of June 26, 2025, South Korean investors had net purchased $505.965 million (approximately 690 billion won) worth of Circle shares during the month. This figure far surpasses all other foreign equities.
Coinbase followed closely behind with $10.701 million (about 145 billion won) in net buying, ranking second among individual foreign stocks—excluding exchange-traded funds (ETFs).
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The last time M7 stocks were absent from the top two positions was in September 2024, when Trump Media & Technology (DJT) and Occidental Petroleum (OXY) led the list. That surge was driven by political sentiment and fossil fuel policy speculation. Today’s movement, however, reflects a more structural shift: growing confidence in the regulatory maturation and real-world utility of blockchain technology.
Why Circle Is Capturing Investor Attention
Circle is best known as the issuer of USDC (USD Coin), the second-largest dollar-pegged stablecoin after Tether (USDT). With over $60 billion in circulation, USDC plays a critical role in global crypto transactions, decentralized lending platforms, and cross-border payments.
The company’s direct listing on June 5, 2025, at an offering price of $31 per share, ignited strong investor demand. This momentum was further amplified by the passage of the Genius Act in the U.S. Senate—a landmark piece of legislation aimed at establishing a clear regulatory framework for stablecoins.
As a result, Circle’s stock skyrocketed to over $298.99** on June 23—nearly **ten times** its initial price—before settling at **$213.62 by month-end, still roughly seven times its offering price.
Despite its massive valuation—approaching 70 trillion won—domestic ownership by South Korean investors remains relatively low at around 1%. Yet, trading activity shows a distinct pattern: significant volume spikes during U.S. pre-market hours, which correspond to evening trading in Korea. This suggests concentrated buying pressure from individual Korean traders seeking early exposure.
Coinbase: Riding the Momentum of a Strengthened Ecosystem
While Coinbase is primarily recognized as a leading cryptocurrency exchange, its strategic partnership with Circle has positioned it as a key beneficiary of the stablecoin boom.
The two firms recently entered into a revenue-sharing agreement, allowing Coinbase to earn a portion of interchange fees generated through USDC transactions. This diversifies Coinbase’s income beyond trading commissions and staking services.
Coinbase’s stock has responded strongly, rising more than 50% in June alone. With a market capitalization nearing 130 trillion won, it remains significantly larger than Circle, yet domestic investor ownership is even smaller—just 0.5%.
Still, the upward trajectory reflects broader optimism about regulatory clarity and institutional adoption. As governments move to legitimize digital currencies, platforms like Coinbase stand to gain from increased compliance-driven demand.
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Market Outlook and Analyst Sentiment
While investor enthusiasm is high, questions remain about sustainability. Historically, non-M7 stocks that briefly top buying charts—such as Starbucks or Tempus AI—often fade from favor once price volatility declines or profit-taking accelerates.
For Circle, the average target price set by three major global securities firms stands at $213.3, nearly identical to its current trading level. This suggests limited upside potential in the near term and may prompt many South Korean investors to lock in gains after the sharp rally.
In contrast, Coinbase presents a more mixed picture. The consensus target price from 33 analysts is $283.3, about 24.5% below the current price. However, recent revisions indicate improving sentiment:
- Oppenheimer raised its target from $293 to **$395**
- Bernstein increased its forecast from $310 to a bullish **$510**
These upward adjustments reflect growing confidence in Coinbase’s ability to monetize its ecosystem amid favorable regulatory developments.
Core Keywords Driving Search Interest
The surge in interest around Circle and Coinbase underscores several key themes resonating with modern investors:
- Stablecoins
- Cryptocurrency stocks
- USDC
- Digital asset regulation
- Blockchain investment
- Foreign stock investing
- Coinbase stock
- Circle listing
These terms are not only central to understanding this trend but also align with rising search queries related to crypto adoption and regulated digital finance.
Frequently Asked Questions
Q: Why are South Korean investors suddenly buying Circle and Coinbase?
A: Increased interest stems from the U.S. Senate's passage of the Genius Act, which provides regulatory clarity for stablecoins. This has boosted confidence in companies like Circle (issuer of USDC) and Coinbase (a major crypto exchange with revenue ties to USDC).
Q: Is USDC safer than other stablecoins?
A: USDC is considered one of the most transparent and regulated stablecoins. It’s fully backed by cash and short-term U.S. Treasury securities and undergoes regular audits, making it a preferred choice for institutional and retail users alike.
Q: How much influence do South Korean investors have on these stocks?
A: While their ownership stake is small (around 1% for Circle and 0.5% for Coinbase), concentrated trading during pre-market hours suggests they can impact short-term price movements.
Q: Could these stocks replace the Magnificent 7 in popularity?
A: Unlikely in the long term, but they represent a growing niche. As digital asset regulation evolves, crypto-linked equities may become a more permanent part of diversified portfolios.
Q: What risks should investors consider?
A: High volatility, regulatory uncertainty outside the U.S., and potential profit-taking after rapid gains are key risks. Additionally, both stocks are sensitive to macroeconomic factors and cryptocurrency market cycles.
Q: Are there tax implications for Koreans investing in these U.S. stocks?
A: Yes. South Korea imposes capital gains tax on foreign stock investments exceeding certain thresholds. Investors should report holdings annually and consult tax professionals for compliance.
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The rise of Circle and Coinbase among South Korean investors reflects more than just a short-term speculative trend—it signals a deeper shift toward financial innovation. As stablecoins gain legitimacy and regulatory frameworks solidify, digital asset-related equities are likely to remain in the spotlight.
Whether this momentum sustains beyond June depends on continued regulatory progress, macroeconomic conditions, and how effectively these companies convert hype into long-term value. For now, however, one thing is clear: the era of crypto-native investing is no longer on the horizon—it’s already here.