- South Korean media reported that Binance plans to sell part of the shares of the Gopax exchange.
- The company acquired a stake in this firm in early 2023.
Binance plans to reduce its stake in the South Korean exchange Gopax amid the latter's problems with registration. This is reported local media.
“We will continue to reduce our stake in Gopax in order to comply with new requirements for business operators of virtual assets,” News 1 quoted a company source as saying. “Within a month or two, we will announce specific details regarding the sale of shares.”
In the comments CoinDesk a Binance representative noted the following:
“We are in the early stages of discussing our stake in Gopax. Since this is all preliminary, we cannot provide specific details.”
Information that Binance was planning to purchase Gopax appeared in January 2023. According to News 1, the agreement allowed the South Korean exchange to “stay afloat” after the collapse of another platform, FTX.
In February 2023, Binance completed its review of the firm, and the parties entered into a deal soon after. The exchange controls 41.2% of Gopax shares.
At the beginning of 2023, the South Korean authorities significantly tightened regulation of the cryptocurrency industry. In particular, the Ministry of Justice has introduced a system for tracking crypto transactions to combat money laundering.
In June 2023, the country passed a cryptocurrency law aimed at protecting the interests of investors. In addition to licensing counterparties, it also introduced a number of requirements for exchanges, including mandatory insurance coverage.