Cryptoquant, a cryptocurrency analysis company, announced that it will start a Korean won-based cryptocurrency base price disclosure service. It also provides a’Kimchi Premium’ index, which shows the difference in transaction prices between overseas and domestic exchanges.
The Korean Bitcoin Price Index (KBPI), which CryptoQuant released on the day, is:
① The price of bitcoin in the domestic exchanges that support KRW-Bitcoin transactions with information protection management system (ISMS) certification,
② After real-time collection at 1-minute intervals,
③ Calculate as a weighted average of the transaction volume (VWAP).
There are 5 exchanges that satisfy condition ①: Upbit, Bithumb, Coinone, Corbit, and Gopax.
According to condition ③, the final base price is calculated by reflecting more heavily the price of the exchange with a large amount of trading at each time.
This is the first time that a kind of reference price index, which is a weighted average of the amount of cryptocurrency traded in Korea, has been released. Unlike stocks, the transaction price of cryptocurrency differs slightly from exchange to exchange due to the nature of cryptocurrency, and there is no set standard price. So, in the industry, when explaining the market price of a specific cryptocurrency, a specific exchange has been specified and the exchange name and transaction price have been written together.