Last Updated on 26 August 2023 by Admin
Binance’s plans to set foot in South Korea through an acquisition deal of rival crypto exchange Gopax has failed due to ongoing regulatory hurdles. As per sources, a domestic crypto exchange based out of South Korea has disturbed Binance’s entry by acquiring a controlling stake in Gopax.
Although there has been no formal announcement by either parties, Gopax is expected to make an announcement by next week. This is yet again a failure for Binance, who has been the victim of ongoing legal and regulatory drama targeting the crypto sector across the globe.
On a positive note, Gopax stated recently that the exchange has cleared outstanding monies to its wealth management product GoFi which was long overdue post Genesis froze withdrawals.
The recent regulatory pressure on Binance by South Korea’s watchdog and U.S SEC made the exchange’s re-entry difficult. The deal was in the last stages as per sources. The U.S SEC led by Gary Gensler has been quite vocal over claiming cryptocurrencies as securities.
Moreover, Binance is facing multiple lawsuits by the SEC and CFTC in regards to several charges framed against the exchange. The U.S subsidiary of Binance has been facing a lot of heat lately. Nonetheless, the exchange is fighting back and is being backed by the industry giants and the community.