Naver Financial, the fintech arm of South Korean tech conglomerate Naver, is reportedly forging ahead with a plan to acquire Dunamu, which operates the country’s largest crypto exchange, Upbit, amid plans for a stablecoin project and expansion into the digital finance sector.
Naver will acquire Dunamu by making it a subsidiary via a share exchange, and board meetings to approve the stock swap will happen soon, South Korean news agencies Yonhap News and Chosun reported on Thursday, citing industry sources.
Naver and Dunamu didn’t immediately respond to a request for comment.
Naver is often called the “Google of South Korea,” and is the top search engine in the country. The company also has an email hosting service, blogs, maps and a mobile payment processor through its subsidiaries.
Upbit Korea is the largest crypto exchange in South Korea in terms of trading volume and customer base, according to CoinMarketCap.
Naver eyes stablecoin project
Following the acquisition, Naver Financial will reportedly launch a Korean won-backed stablecoin project, along with other digital finance initiatives, as part of its bid to actively explore overseas expansion.
Chosun, citing an industry source, reported that the “collaboration will serve as a stepping stone to becoming a global fintech company.”
Eight major South Korean banks already announced plans in June to launch a stablecoin pegged to the country’s won currency in late 2025 or early 2026, while Bank of Korea deputy governor Ryoo Sangdai voiced support for banks being the primary issuers of stablecoins in the country before gradually expanding to other sectors.
The crypto industry in South Korea has benefited from a friendlier environment after the election of President Lee Jae-myung in June, who has since pushed forward with various crypto-related laws, including a bill to legalize stablecoins.
Naver stock spikes higher on reports
This isn’t the internet giant’s first foray into the crypto space; it launched a crypto wallet, Naver Pay Wallet, in partnership with the sport-focused blockchain Chiliz in August 2024.
Naver’s stock (KRW) has reacted positively to reports of its latest crypto venture, jumping over 11.4% to trade at $181 (254,00 Korean Won).
In the second quarter, the conglomerate reported a revenue of over $2 billion and net profit of more than $355 million, compared to industry leader Google’s revenue of $96 billion in the same time frame.
Crypto exchange users are rising in South Korea
Dunamu isn’t a publicly traded company, but CoinMarketCap data lists Upbit as the largest exchange in South Korea and the fourth largest globally, with $2.9 billion in 24 spot trading volume. While the largest, Binance, has a volume of $23.8 billion.
Related: South Korea caps crypto lending rates at 20%, bans leveraged loans
Crypto exchange users in South Korea surpassed 16 million in February after receiving a boost from US President Donald Trump’s election win last November, and are speculated to possibly hit 20 million by the end of the year, out of the country’s 51 million people.
The cryptocurrency market in South Korea is projected to reach a revenue of $1.1 billion in 2025, according to online data platform Statista, and grow to $1.3 billion by 2026.
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