Economy - The Korea Times

Binance reaffirms commitment to GOPAX acquisition, GOFi debt repayment

Binance Asia Pacific Director Steve Young Kim said Thursday that the company — one of the world's largest cryptocurrency exchanges — remains committed to acquiring GOPAX and repaying its debt to GOFi investors. "Although the losses have increased over time, Binance's leadership remains committed to supporting victim recovery and continues to work diligently," Kim said. "I hope the incoming administration will recognize these hardships. If there are areas where we're falling short, please let us know — we’ll do our utmost to address them." His remarks were made during a seminar on compensation for GOFi investors held at the National Assembly, hosted by Rep. Park Min-kyu of the Democratic Party of Korea. Since 2023, Binance has been pursuing the acquisition of GOPAX under investment terms that included the repayment of debts tied to the GOFi service. GOFi is a deposit product offered by GOPAX that paid interest to customers who deposited virtual assets. However, following the 2022 collapse of the FTX cryptocurrency exchange, GOFi’s operator, Genesis Trading, became insolvent —

May 8, 2025By Lee Yeon-woo

Binance reaffirms commitment to GOPAX acquisition, GOFi debt repayment

Korea tightens crypto withdrawal rules to fight voice phishing

The Financial Supervisory Service (FSS) said Thursday that it will strengthen enforcement of the withdrawal delay system at cryptocurrency exchanges to prevent voice phishing scams. Stolen funds are frequently converted into virtual assets. To address this, the system temporarily restricts withdrawals of virtual assets — particularly by new users — to external wallets for a designated period. For instance, the exchanges impose a 72-hour delay on virtual asset withdrawals following the first Korean won deposit into a user's exchange account. For existing users, a 24-hour delay is applied to withdrawals of virtual assets equivalent to newly deposited Korean won funds. Since 2019, Korea's top five major cryptocurrency exchanges — Upbit, Bithumb, Coinone, Korbit and GOPAX — have voluntarily implemented this system to help prevent the transfer of phishing-related funds through virtual assets. However, Bithumb, Coinone and Korbit suspended the system from July to October 2024, citing the need to improve user convenience. Following the suspension, the FSS observed a significant surge in

May 8, 2025By Lee Yeon-woo

Korea tightens crypto withdrawal rules to fight voice phishing

Wemix becomes 1st cryptocurrency to be delisted twice in Korea

Wemix, a cryptocurrency issued by the Korean game company Wemade, has become the first in the industry to be delisted for a second time. On Friday, the Digital Asset Exchange Alliance (DAXA) — a coalition of Korea’s five major crypto exchanges — announced the delisting of Wemix via a notice posted on Bithumb. DAXA stated that "the explanatory materials submitted by the foundation were insufficient to resolve the concerns that led to the investment warning designation." It added, "After a comprehensive review of factors such as the issuer's credibility and security practices, we determined that Wemix no longer meets the standards for continued trading support, and have decided to terminate trading." Wemix trading will be suspended starting at 3 a.m. on June 2. Withdrawal services will be discontinued on July 2. As of 4:25 p.m., Wemix was trading at 473 won ($0.34) on Bithumb, down 62 percent from the same time the previous day. On March 4, Wemade announced that approximately 8.65 million Wemix tokens had been unlawfully withdrawn following a malicious external attack targeting Play Br

May 2, 2025By Lee Yeon-woo

Wemix becomes 1st cryptocurrency to be delisted twice in Korea

Nonprofits, crypto exchanges allowed to sell crypto from June 1

Nonprofit organizations and cryptocurrency exchanges will be permitted to sell cryptocurrencies starting June 1, the Financial Services Commission (FSC) said Thursday. The decision was finalized during the FSC’s fourth virtual asset committee meeting, where officials also unveiled new guidelines governing digital asset sales. Under the rules, nonprofits with over five years of operational history and verified through external audits may sell donated digital assets. To ensure transparency, they must also form internal review committees to evaluate the suitability of donations and approve asset sale plans in advance. To strengthen anti-money laundering efforts, all donations and transfers must be made through accounts at domestic, Korean won-based exchanges. This allows banks, exchanges and nonprofits to conduct overlapping customer verification procedures. In contrast, the guidelines for cryptocurrency exchanges focus on minimizing market disruption and preventing conflicts of interest. Exchanges will be restricted to selling only the top 20 digital assets by market capitalization, as li

May 1, 2025By Lee Yeon-woo

Nonprofits, crypto exchanges allowed to sell crypto from June 1

Politicians court crypto investors ahead of presidential election

Ahead of the June 3 presidential election, both the ruling and opposition parties are racing to unveil crypto-related pledges and bring in industry experts to win over the country's 16 million crypto investors, industry officials said Wednesday. The People Power Party (PPP) moved first on Monday, announcing seven key initiatives aimed at promoting the industry. These include allowing the issuance, listing and trading of spot crypto exchange-traded funds this year, as well as institutionalizing virtual asset transactions for corporations and institutions. The PPP also plans to abolish Korea's "single-bank policy," which restricts cryptocurrency exchanges to partnerships with only one bank for deposit and withdrawal accounts. These proposals reflect the market’s long-standing push for lighter regulations. The PPP pledged to establish a special committee on virtual assets under its presidential candidate, signaling a strong commitment to swift policy execution. "Digital assets are no longer just investment tools. They hold the potential to become a new store of value, like gold in the 21s

Apr 30, 2025By Lee Yeon-woo

Politicians court crypto investors ahead of presidential election

Bithumb earns $97 mil. in extra fees despite claiming 'lowest fees' in ad

Korea's leading crypto exchange, Bithumb, netted over 140 billion won ($97 million) in extra fees despite stating it offers the “lowest trading fees” in Korea, a ruling party lawmaker said Monday. The exchange is under suspicion that it deliberately did not inform users about the need to register and redeem a coupon to be charged the lowest rate possible. Users aged 50 and older were the most impacted, with this group of investors paying almost double the fees of their younger, more tech-savvy counterparts. According to data submitted by the Financial Supervisory Service to Rep. Kim Jae-sub of the ruling People Power Party, Bithumb made over 140.91 billion won in extra fees from February 2023 to February 2024. This amount is part of the total 672.7 billion won in trading fees collected during the same period. The lawmaker said Bithumb's advertisement claimed a trading fee of 0.04 percent, the lowest in the country. However, the actual rate charged averaged 0.051 percent. The difference of 0.011 percentage points was a result of Bithumb’s deliberate failure to inform users about how to

Apr 28, 2025By Lee Kyung-min

Bithumb earns $97 mil. in extra fees despite claiming 'lowest fees' in ad

Bithumb volunteers host memorable day for underprivileged youth

Employees at cryptocurrency exchange Bithumb delivered a special day to children in need at Songjukwon, a child care facility run by a social welfare corporation in Seoul, the company said Thursday. The volunteer work was part of the exchange’s social contribution project, which was launched last year to mark its 10th anniversary. The company established a 10 billion won ($7 million) fund for the project and has since engaged in a wide range of activities aimed at providing practical and sustainable support to underprivileged groups in the country. During the latest activity on Saturday, Bithumb employees engaged in a hands-on volunteer effort, using a food truck to prepare and distribute lunch boxes filled with cube steak, fried rice and other dishes. The staff handled every step of the process — from designing the menu to cooking and serving — creating a meaningful experience shared with approximately 40 children. Following the meal, a series of interactive programs were held for the children, including a hands-on “dalgona” making experience, where they melted sugar to create

Apr 24, 2025By Jun Ji-hye

Bithumb volunteers host memorable day for underprivileged youth

Bithumb revives spin-off plan ahead of IPO push

Bithumb is resuming its spin-off plan as part of a two-track strategy aimed at strengthening its core exchange operations while expanding into new business areas, the company said Tuesday. Korea’s second-largest cryptocurrency exchange said it submitted a securities registration statement Monday for the proposed spin-off, with the newly established entity scheduled to launch on July 31. This marks Bithumb’s second attempt at implementing the plan. Following the split, the remaining entity will focus on Bithumb's exchange operations, while the newly formed company will pursue new business ventures to diversify the group's revenue streams. The split ratio between the surviving entity, Bithumb, and the newly established company is approximately 56 to 44. Shareholders will be issued new shares in the new entity in proportion to their existing ownership. The final decision will be made at an extraordinary shareholders' meeting scheduled for June 13. Shares of investment-related affiliates held by Bithumb will be transferred to the newly established entity, while shares related to the exch

Apr 22, 2025By Lee Yeon-woo

Bithumb revives spin-off plan ahead of IPO push

Crypto industry voices concern over regulations on stablecoins

Virtual asset industry officials are raising concerns that a bill requiring prior approval from financial authorities to issue stablecoins — set to be submitted to the National Assembly as early as this month — could hinder Korea's development of a stablecoin ecosystem. The officials said Monday that excessive regulations could also create an uneven playing field for domestic issues compared to their foreign counterparts. Stablecoins are digital currencies designed to maintain a stable value by being tied to central bank-issued currencies, such as the U.S. dollar, or to physical assets like gold. Tether (USDT) and USD Coin (USDC), both pegged one-to-one to the U.S. dollar, are among the most widely used stablecoins. According to industry officials and political sources, Rep. Min Byoung-dug of the Democratic Party of Korea is preparing to introduce the Digital Asset Basic Act. The draft bill classifies digital assets into stablecoins and nonstablecoins. It requires prior approval from the Financial Services Commission (FSC) for the issuance of stablecoins, while permitting the issuance

Apr 21, 2025By Jun Ji-hye

Crypto industry voices concern over regulations on stablecoins

Crypto exchanges face growing polarization

With interest in crypto investments higher than ever, Korea's top two cryptocurrency exchanges, Upbit and Bithumb, recorded strong profit growth last year, while their smaller rivals — Coinone, Korbit and GOPAX — remain in the red, underscoring the widening gap within the sector, industry officials said Thursday. In 2024, Dunamu, the operator of Korea's largest exchange Upbit, reported a consolidated operating profit of 1.19 trillion won ($838.7 million) — an 85.1 percent increase from the previous year. Bithumb, the second-largest, reversed a loss and returned to profitability last year with an operating profit of 130.7 billion won. Their success was driven by a significant rebound in the virtual asset market, fueled by growing optimism over U.S. President Donald Trump's pro-crypto stance and the approval of spot Bitcoin exchange-traded funds. "Last year was a milestone, driven by the market's recovery and our proactive efforts," a Bithumb official said. "This year, we plan to take another step forward by enhancing convenience and accessibility through our partnership with KB Kook

Apr 17, 2025By Lee Yeon-woo

Cryptocurrency