What happened?
South Korea’s Financial Intelligence Unit has restarted its review of Binance’s acquisition of local exchange Gopax, with approval possible by the end of 2025. The review centers on reported changes to Gopax’s key executives and is being treated as a test of whether Binance qualifies as a controlling shareholder. Regulators had paused the process over AML concerns, but Binance’s $4.3 billion U.S. settlement appears to have eased some of those worries.
Who does this affect?
This affects Binance and Gopax directly, plus Gopax’s customers who’ve faced withdrawal and liquidity issues since 2023. It also matters to other Korean exchanges and service providers (like custody and institutional platforms) that will face renewed competition if Binance re-enters the market. Regulators and institutional investors are watching closely because the outcome will shape rules and confidence around crypto in South Korea.
Why does this matter?
An approval would likely boost liquidity and competition in Korea’s crypto market, which could drive higher trading volumes and put pressure on fees and market share for local players. It would also send a strong regulatory signal that could accelerate institutional adoption—think spot ETFs and more custody services—while prompting stricter AML and compliance expectations. On the flip side, Binance’s return could force consolidation among local exchanges and shift where Korean traders keep and trade their assets.