TLDRs:
- Naver plans to acquire Dunamu, operator of South Korea’s largest crypto exchange, Upbit.
- The deal could pave the way for a won-backed stablecoin and other fintech initiatives.
- Korean regulators will closely review the merger under fair trade and financial laws.
- Integration awaits board and shareholder approvals before official launch of digital projects.
South Korean tech giant Naver is poised to acquire Dunamu, the operator of Upbit, South Korea’s largest cryptocurrency exchange, according to sources familiar with the matter.
Industry insiders indicate that Naver’s board is scheduled to meet next week to finalize plans for the acquisition. Dunamu has also slated a board meeting on November 26, 2025, to formalize details of the potential deal.
This strategic move aims to position Naver at the forefront of South Korea’s fast-growing digital finance sector. By bringing Dunamu under its umbrella, Naver plans to leverage its fintech arm, Naver Financial, to execute a stock swap that would convert Dunamu into a wholly owned subsidiary.
Launch of Won-Backed Stablecoin Project
Once the acquisition is completed, the two companies intend to collaborate on innovative digital finance projects. Central to these plans is the launch of a won-backed stablecoin, which would enable payments and settlements denominated in the South Korean currency.
The stablecoin initiative could also facilitate broader fintech integration, opening doors for partnerships with banks and payment networks.
Under proposed Financial Services Commission (FSC) guidelines, virtual asset service providers (VASPs) must maintain separate custody of customer funds, potentially fostering cooperation between Naver, Dunamu, and financial institutions not directly involved in the merger.
Regulatory Scrutiny and Compliance Hurdles
Experts caution that the deal faces close oversight from multiple regulatory bodies. The Korea Fair Trade Commission (KFTC) is expected to review the transaction under merger rules, particularly due to its potential impact on innovation-driven multi-sided platforms like Upbit.
Meanwhile, any changes in Dunamu’s ownership will trigger scrutiny from the Korea Financial Intelligence Unit (KoFIU), which expanded its review processes in 2024 to cover officers, major shareholders, and service operators of VASPs.
Additionally, regulatory uncertainty surrounds the proposed won-backed stablecoin. FSC rules currently exclude bank-issued digital deposit tokens linked to central bank digital currency (CBDC) from the definition of virtual assets. This leaves private fiat-backed stablecoins in a grey area, and the timing and potential uses of the currency remain uncertain until further guidance is provided.
Implications for South Korea’s Crypto Market
If regulators approve the merger and subsequent stablecoin launch, the acquisition could have wide-reaching implications for the domestic crypto market.
Payment service providers and merchant acquirers may gain the ability to process transactions using the new stablecoin, increasing adoption of digital finance solutions across South Korea.
Furthermore, the FSC’s proposed rules require VASPs to ensure uninterrupted customer fund access, barring system failures, legal orders, or security incidents. This framework may boost confidence among consumers and investors while supporting the growth of off-exchange transfers, which rose 38% in the second half of 2024 for pre-approved overseas entities and self-custodied wallets.
Naver’s potential acquisition of Dunamu represents a pivotal moment in South Korea’s digital finance landscape, merging the country’s leading tech and crypto platforms. As regulatory approvals and shareholder votes progress, industry observers will closely monitor how the integration shapes the future of stablecoins and fintech innovation in the region.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
