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Binance Nears Acquisition of Korean Crypto Exchange Gopax: Report

Finance Magnates

Cryptocoins News / Finance Magnates 122 Views

<p class="MsoNormal text-align-justify">Binance, a leading cryptocurrency exchange, is making arrangements to finalize its acquisition of GOPAX, one of the top crypto exchanges in Korea, Decenter reports. The exchange has conducted its due diligence in this regard and is confirming other procedures, the outlet said. </p><p class="MsoNormal">According to the outlet, <a href="https://www.financemagnates.com/tag/binance/" target="_blank" rel="follow">Binance</a> intends to buy the majority stake at GOPAX, 41.2% owned by the CEO, Lee Jun-Haeng. In addition, the outlet quoted an official as saying that the exchange initially intended to announce the acquisition late last year.</p><p class="MsoNormal">Moreover, Decenter notes that the acquisition comes at a time Gopax, which expanded its domestic business for most of 2022, is facing a liquidity crisis due to the fallout of <a href="https://www.financemagnates.com/cryptocurrency/ftx-the-rise-the-fall-and-the-reaction/" target="_blank" rel="follow">FTX’s collapse</a>.</p><p class="MsoNormal">In addition, the report said Binance had previously made attempts to gain entry into the Korean crypto market but was hit by regulatory stumbling blocks. These included stricter restrictions from the country’s regulator on areas such as money laundering and investor protection. However, both Binance and Gopax are yet to officially confirm the news. </p><p class="MsoNormal">Could Binance Acquisition Be a Turnaround for Gopax?</p><p class="MsoNormal">Korea’s cryptocurrency market is currently dominated by Upbit. Other leading exchanges in the Asian country include Bithumb, Coinone and Corbitt. However, despite being in the top five, GOPAX currently boasts only a marginal 0.1% share of the market. </p><p class="MsoNormal">However, the report says industry experts believe that there might be a turnaround in Gopax's fortunes with Binance’s indirect presence in the country.</p><p>Check out the recent Finance Magnates London Summit 2022 session on what trends will define crypto this year.</p><p class="MsoNormal">Binance's Recent Acquisition in Japan</p><p class="MsoNormal">Meanwhile, in November last year, Binance <a href="https://www.financemagnates.com/cryptocurrency/binance-acquires-12th-license-after-acquisition-in-japan/" target="_blank" rel="follow">acquired Sakura Exchange BitCoin</a>, a Tokyo-originated crypto exchange regulated by the Japanese Financial Services Agency. With the acquisition, the exchange obtained its 12th regulatory license, adding to others acquired in countries such as France, Poland, Spain and Cyprus.</p><p class="MsoNormal">Takeshi Chino, the General Manager of Binance Japan, during the announcement, said the exchange wants to help Japan take a leading role in the digital asset industry.</p><p class="MsoNormal">"The Japanese market will play a key role in the future of cryptocurrency adoption. As one of the world's leading economies with a highly developed tech ecosystem, it's already poised for strong blockchain uptake. We will actively work with regulators to develop our combined exchange in a compliant way for local users,” Chino explained.</p> This article was written by Solomon Oladipupo at www.financemagnates.com.
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