By Lee Kyung-min
gettyimagesbank
A growing number of investors are placing their money back into fixed-rate term deposit accounts, unsettled by the wild volatility in the broader financial and commodity markets, data showed Sunday.
The trade and tariff wars between the second Trump administration and China sent equities, cryptocurrencies, and other investments on a wild ride, sparking risk-off sentiment among investors and driving them toward safe-haven assets.
According to Korea's five leading commercial banks — KB Kookmin, Shinhan, Hana, Woori, and NH NongHyup — the balance of fixed-rate term deposits reached over 937 trillion won as of Thursday, a rise of more than 15 trillion won compared to the end of January.
The month-on-month spike is notable, especially considering the combined decrease of 25.9 trillion won over the past two months. The figure dropped by 21.13 trillion won in December, followed by a decline of 4.79 trillion won in January.
Most of the funds were invested in offshore stocks, cryptocurrencies and gold.
Meanwhile, Bitcoin fell to around $80,000 on Friday, a significant drop from its peak of over $100,000 in January, when speculation swirled that the White House would adopt a pro-crypto stance and create a crypto strategic reserve.
While optimism largely faded last month, it rebounded to over $90,000 on Sunday (local time) after Trump announced that several crypto assets would be included in a strategic crypto reserve.
The announcement aligns with Trump's previous commitment at the Bitcoin 2024 Conference in Nashville, Tennessee, where he pledged to create a "strategic national Bitcoin stockpile."
During his speech, Trump stated that if reelected, his administration would keep 100 percent of all Bitcoin currently held or acquired by the U.S. government, stressing that Bitcoin would become the foundation of the nation’s digital asset reserve.
English (United States) ·