NewsletterBreaking: Binance Acquires GOPAX Exchange To Officially Re-Enter South Korea
Crypto exchange Binance has acquired a majority stake in South Korea’s crypto exchange GOPAX. The funding for the acquisition came from Binance-led “Industry Recovery Initiative.”
It marks the re-entry of Binance into South Korea’s crypto market after two years by acquiring GOPAX, which is among the top five crypto exchanges in South Korea.
Binance Officially Re-Enters South Korea With GOPAX Acquisition
Crypto exchange Binance has acquired South Korea’s crypto exchange GOPAX, reported Bloomberg on February 3. Last month, Binance announced that it has completed due diligence on the acquisition of GOPAX.
The discussions reached the final stage as Binance was looking to buy a majority stake from CEO Lee Jun-haeng, who has a 41.2% stake in Gopax. Barry’s Silbert’s Digital Currency Group is the second largest shareholder of GOPAX.
Commenting on the deal, Binance CEO Changpeng “CZ” Zhao said:
“We hope that taking this step with GOPAX will further rebuild the Korean crypto and blockchain industry.”
Binance CEO was actively looking to re-enter South Korea after it exited in January 2021. South Korea has one of the world’s largest crypto economies, an excellent talent pool, and a startup community, which is still an attractive market for Binance. The South Korean expansion will be the most important for Binance to establish leadership in the next wave of blockchain and web3 developments.
GOPAX Customers Hit With Genesis Contagion
FTX and Genesis contagion impacted Binance’s GOPAX acquisition deal as Genesis suspended customer withdrawals and redemptions after FTX’s bankruptcy. GOPAX needed to repay about $47 million to customers of its wealth management product GoFi, which was affected by Genesis’ decision to halt redemptions.
Binance plans to inject capital into GOPAX so that customer withdrawals and interest payments can be made for yield product GoFi.
“The fundamental thrust of this deal was to support customers and make sure that any customers who want to withdraw their assets have the ability to do so,” Yibo Ling, the chief business officer at Binance.
Also Read: Binance Increasing Its Dominance Amid Hong Kong’s Crypto Hub Plan
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more… to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Premium Partners
Delivered every day.
- Insights that move markets
- 100,000 active subscribers
Related Articles
- Jerome Powell Speech Today: What To Expect as Fed Ends QT
- Tom Lee’s BitMine Acquires 96,798 ETH Ahead of Ethereum Fusaka Upgrade
- Schiff Predicts ‘Beginning of the End’ for MSTR as Strategy Eases Bitcoin Sell-Off Fears With $1.44B Reserve
- Bitget Launches MONAD Earn With 20% APR, 800K MON Airdrop Campaign
- Michael Saylor’s Strategy Buys 130 Bitcoin, Establishes $1.44B Reserve For Dividend Payments
- Will the Binance Coin Price Rebound as a Key RWA Metric Jumps 99%
- AVAX Price Prediction After Bitwise Files for a Staking ETF — A Rebound Coming?
- Will Chainlink Price Soar to $20 with U.S. Spot ETF Launch?
- Is Pepe Coin Price at Risk After Forming This Bearish Pattern?
- Bitcoin Price Drops to $87K in a Rapid Crash: What Sparked the Sell-Off?
- Will Fusaka Upgrade Push Ethereum Price to New Highs?
