According to a local news outlet, Decenter, citing an unknown industry official, Binance is attempting to acquire Lee Jun-haeng, GOPAX's founder and top shareholder, who currently owns 41.2% of the company. Lee will continue to serve as GOPAX's CEO.
One of the five cryptocurrency trading firms authorized to offer customers fiat-to-crypto services in South Korea is GOPAX. Although Upbit, the leading company in the sector, holds over 80% of the market, GOPAX, the last of the five to obtain a license, owns only about 0.1%.
According to company policy, they don't remark on rumors or conjecture, a Binance representative told Forkast through Telegram. Requests for remarks made by phone and email to GOPAX have received no response.
Changpeng Zhao, the CEO of Binance, stated that the exchange is getting prepared to enter the South Korean sector in November. In order to advertise its blockchain ecosystem, Binance and the city of Busan entered into a cooperation last year that consisted of the establishment of a regional office in Busan.
Since its decentralized finance (DeFi) provider GOFi stopped principle and interest rates on November 16 as a result of it brokering goods from Genesis Global Capital, which stopped withdrawals early that day, GOPAX has allegedly been seeking additional financing.
Although Binance began doing business in South Korea in 2020, the GOPAX statement from December stated that the partnership will be joining the market for the first time. It later withdrew as a result of what it claimed were stricter local rules for cryptocurrency exchanges.
In order to deliver user deposit and withdrawal profiles beneath actual names and to comply with other know-your-customer requirements, cryptocurrency trading platforms in South Korea ought to obtain information security permission from the government. They also need to collaborate with a local bank.
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