Dunamu targets growth beyond Korea's crypto market
Dunamu CEO Oh Kyoung-suk speaks at Korea Blockchain Week at Grand Walkerhill Seoul, Wednesday. Courtesy of Korea Blockchain Week
Regulatory barriers still weigh on digital asset industry
Dunamu is pursuing its next phase of growth beyond Korea, aiming to connect the country's digital asset ecosystem with global financial markets, company CEO Oh Kyoung-suk said Wednesday.
"Korea has world-class capabilities in digital assets, with a large user base, ample liquidity and strong expertise, but much of that strength remains confined to the domestic market," Oh said during a keynote speech at Korea Blockchain Week.
"What matters is connecting this competitive market with the rest of the world," Oh said. "With greater accessibility, connectivity and export potential, Korea can emerge as an important global financial hub."
Oh stressed the need to establish clear and predictable channels for market entry so that global capital and companies can enter the Korean market with confidence. He also said Korea needs a framework that allows capital and digital assets entering the country to be freely exchanged for won and used in real-world financial activities.
Oh said Dunamu could serve as that bridge, citing its planned business collaboration with Naver Financial.
The idea is to provide shared infrastructure that would allow banks, brokerages, payment companies and fintech firms to build compliant on-chain financial services without having to develop functions such as trading, custody, asset transfers and anti-money laundering compliance on their own.
Dunamu approved a comprehensive share-swap deal with Naver Financial in November last year and is scheduled to complete the transaction by the end of this year. However, the Fair Trade Commission's review of the proposed business combination is still underway, raising the possibility that the share swap could be delayed.
"Our first step is to connect Web3 financial infrastructure with Web2 users, payment systems and platforms, and build infrastructure with the scale to compete in the global market," Oh said.
Rep. Min Byung-deok of the ruling Democratic Party of Korea also stressed the need for regulatory and institutional support to help the country compete as artificial intelligence (AI), stablecoins and tokenized assets reshape the global financial system.
Min argued that Korea should respond by building its own competitive digital financial infrastructure rather than trying to keep such changes at bay.
The Digital Asset Basic Act, introduced by Min, was intended to provide a comprehensive regulatory framework for the sector. It had been expected to pass by the end of last year, but lawmakers and regulators remain divided over issues including eligibility requirements for stablecoin issuers and a proposed 20 percent ownership cap on major shareholders of cryptocurrency exchanges.
"No other country in the world is debating these two issues. We are getting bogged down in the wrong questions," Min said.
He called for the swift passage of legislation governing digital assets, saying regulatory uncertainty remains one of the biggest obstacles to the industry's growth in Korea.
"We keep talking about the need to build Korea's own AI capabilities. Why is that? Because we recognize the enormous power of AI. If access to AI is disrupted, it becomes a matter of national security," Min said. "What will we use for financial activities in the AI era? It's stablecoins."
"If we fail to prepare, the Korean economy risks being sidelined by a tsunami of dollar-based finance," the lawmaker added. "Both politicians and financial authorities have lacked the resolve to act. Now is the time for decisive action."