- By investing $53 million in Coinone and acquiring a 19.6% share with Korea Investment & Securities (KIS), OKX Ventures has bolstered its position in the South Korean cryptocurrency market.
- The action demonstrates the rising trust in South Korea’s regulated digital asset market as international cryptocurrency companies look for growth prospects.
- In the meantime, big businesses like Samsung, Mirae Asset, and top Korean banks are expanding their exposure to cryptocurrencies through investments, stablecoin trials, and blockchain collaborations like Solana and Avalanche.
With OKX Ventures purchasing a significant portion of Coinone, will South Korea emerge as the next worldwide hub for cryptocurrency investments? Coinone announced that it has entered into strategic equity investment agreements with OKX Ventures, Korea Investment & Securities (KIS), and the South Korean gaming company Com2uS and its subsidiary.
After investing 80 billion won each, OKX Ventures and KIS will each own a 19.6% share in Coinone, pending regulatory approval and transaction completion.
According to Coinone, the two investors are anticipated to become the exchange’s joint third-largest shareholders, after Com2uS Holdings and its affiliated firm, which together control 25%, and Chief Executive Officer Cha Myung-hun, who has 27.8%.
According to Coinone, the deal will mix subscriptions to newly issued shares with secondary share purchases from Cha and Com2uS.
The investment joins an increasing number of foreign cryptocurrency companies looking to get exposure to South Korea’s regulated digital asset market, following Binance’s acquisition of competitor exchange Gopax.
Can Regulation Turn South Korea Into A Crypto Powerhouse?
Netero Dai, vice president of OKX Global Markets, stated in remarks contained in the release that South Korea has one of the most developed digital asset markets in the world and that its legal system is regarded globally.
“Our investment in Coinone with Korea Investment & Securities reflects our belief that the future of finance will be built on compliant, well-regulated infrastructure.”
At the same time, KIS stated that although South Korea is still debating digital asset laws, it plans to look into commercial potential including security tokens and stablecoins.
Major South Korean financial companies are increasing their involvement in the cryptocurrency space, which coincides with the Coinone purchase.
Samsung, Mirae Asset & Banks Fuel Korea’s Crypto Expansion
Three Samsung companies said earlier this week that they will invest about $408 million in Upbit’s parent business, Dunamu, in exchange for a combined 4% ownership share.
Mirae Asset, which oversees assets worth over 1,000 trillion won ($665 billion), said in February that it will purchase a 92% share in the cryptocurrency exchange Korbit.
To test payment infrastructure integrating tokenized deposits and stablecoins, a number of major financial institutions, including KB Kookmin, Shinhan, and NHN KCP, have also partnered with blockchain networks like Solana and Avalanche.
The proposed Digital Asset Basic Act, a comprehensive crypto framework meant to regulate the nation’s digital asset business, is still being worked on by South Korean legislators.
The legislation’s exact implementation timeline is still unknown, despite regulators’ ongoing discussions about it. International financial firms are increasingly collaborating with crypto-native businesses, according to recent trends.
The New York Stock Exchange’s parent company, Intercontinental Exchange (ICE), extended its strategic partnership with OKX in May by announcing intentions to provide perpetual oil futures connected to the ICE Brent and WTI benchmarks.
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