Financial Services Commission is reportedly reviewing Hana Bank’s $668 million stake in Dunamu under “banking-commerce separation” regulations that restrict bank ownership connected to crypto-related firms.
South Korea’s financial regulator is reportedly examining Hana Bank’s planned $668 million acquisition of a 6.55% stake in Dunamu, the company behind the country’s largest cryptocurrency exchange, Upbit.
Local media outlet iNews24 cited an unnamed official from the Financial Services Commission in reporting that regulators are reviewing whether Hana Bank’s planned share purchase from Kakao Investment, rather than directly from Dunamu, falls under broader “banking-commerce separation” regulations.
The official said Hana Bank’s investment would be evaluated under the same standards applied to a direct ownership stake in the exchange operator.
The banking division of Hana Financial Group agreed on Friday to purchase around 2.2 million shares of Dunamu from Kakao Investment for 1 trillion won, or approximately $668 million.
South Korea Tightens Review of Bank Relationships With Crypto Firms
South Korea’s crypto market has long been governed by a supervisory principle locally known as “banking-commerce separation,” which restricts ownership links between traditional financial institutions and non-financial companies.
Crypto firms such as Dunamu remain in a regulatory gray area under the framework because virtual asset operators are not categorized as traditional financial institutions.
In a report published Monday by local outlet Maeil Business Newspaper, a senior official from the Financial Services Commission was cited as saying that “banking-commerce separation” restrictions related to crypto are not directly codified in current law and instead function through policy guidance and regulatory supervision.
Some restrictions tied to bank involvement in crypto are enforced through supervisory policy and regulatory interpretation rather than through clearly defined legislation.
In April, Democratic Party of Korea proposed the Digital Asset Basic Act, a broad crypto bill designed to create a legal framework for cryptocurrencies, stablecoins, and virtual asset service providers.
Hana Bank’s move comes as financial groups are making a broader push into South Korea’s tightly regulated crypto market.
In February, Mirae Asset agreed to acquire a 92.06% stake in crypto exchange Korbit through Mirae Asset Consulting for around 133.5 billion won, or roughly $93 million, instead of using its securities division.
On Friday, local media reported that OKX and Korea Investment & Securities are in discussions to acquire roughly 20% stakes each in local crypto exchange Coinone through a new share issuance.
