Binance Re-enters South Korea After Acquiring Crypto Exchange GOPAX

• Binance is making a comeback to the country’s crypto market after an absence of 2 years.
• The largest exchange still sees South Korea as a promising market.

Binance has purchased a controlling stake in the cryptocurrency exchange GOPAX in South Korea. The purchase was made possible by the “Industry Recovery Initiative,” an initiative spearheaded by Binance. By purchasing GOPAX, one of the top five crypto exchanges in South Korea, Binance is making a comeback to the country’s crypto market after an absence of two years.

Binance CEO CZ tweeted:

“Binance has invested in South Korea-based GOPAX exchange using our Industry Recovery Initiative. We are joining forces to protect our users and make sure we offer a responsible environment for cryptocurrency investments in the country.”

South Korea a Promising Market

Binance stated last month that it has completed due diligence on its purchase of GOPAX. Lee Jun-haeng, CEO of Gopax, owns a 41.2% holding in the company, and Binance had been in advanced talks to purchase this share. The Digital Currency Group, which is led by Barry Silbert, is the company’s second-biggest shareholder.

After leaving South Korea in January 2021, Binance’s CEO was eager to make a return. Binance still sees South Korea as a promising market, since it is home to one of the world’s biggest crypto economies, a vast pool of talented individuals, and a thriving startup sector. If Binance wants to take the reins as a forerunner in the future generation of blockchain and web3 technologies, its growth into South Korea is crucial.

After FTX’s bankruptcy, Genesis froze client withdrawals and redemptions, which had an effect on Binance’s bid to acquire GOPAX. Because of Genesis’s decision to cease redemptions, GOPAX was required to pay back around $47 million to clients of its wealth management product GoFi. Binance aims to fund GOPAX so that customers may withdraw funds and get interest on the yield product GoFi.

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