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Binance is on the cusp of re-entering the South Korean market through Gopax. According to Newsis, South Korea’s Financial Intelligence Unit (FIU) is reviewing a key management change notification at Gopax, after more than two years of anticipation, and the outlook appears positive. If approved, the global exchange that ceased local operations in 2021 could re-enter by late 2025. The review process reportedly gained momentum after the resolution of compliance issues in the United States.
FIU Process
Current regulations do not define a separate suitability examination for a “major shareholder” in crypto exchanges; thus, the management change notification effectively equates to assessing the main partner’s qualifications. The FIU is reported to be examining the official dossier, with indications of a favorable trajectory. The targeted approval timeline is by the end of 2025, which, if confirmed, would officially recognize the Binance-Gopax partnership structure, paving the way for re-entry into the market.
The process was first initiated in March 2023. At that time, Binance acquired 67% of Gopax, becoming its largest shareholder, but the file remained pending due to concerns over anti-money laundering risks. Legal proceedings involving the SEC and the Department of Justice in mid-2023 resulted in fines amounting to $4.3 billion. This clarification on compliance issues has reportedly fortified perception in favor of Binance with the FIU.
Gopax’s Standing
Gopax is one of the five platforms authorized in Korea for fiat-to-crypto transitions, meeting stringent KYC and AML standards, positioning it as a rare player in the market. Following the suspension of withdrawals by Genesis Global Capital in 2023, around $47 million worth of assets in the GoFi product were locked, escalating reputation risks for the platform.
In February 2023, Binance’s majority stake acquisition aimed partly to provide capital to cover affected users’ claims. With the delay in approval, an option to transfer shares to local cloud provider Megazone for secondary partnership emerged; however, this plan did not materialize by the end of 2024. Currently, Binance remains Gopax’s largest shareholder and, should approval be granted, would have surmounted a crucial hurdle for market re-entry.
