In a groundbreaking move, Binance has successfully made a comeback in South Korea after receiving the green light from regulators for its acquisition of the local exchange, Gopax. This decision marks a significant moment for one of Asia’s largest cryptocurrency markets and ends a prolonged period of uncertainty surrounding Binance’s plans in the region.
Regulatory Approval Achieved for Binance
As per official sources, South Korea’s Financial Intelligence Unit granted approval on October 15, 2025. This clearance allows Binance to take over a substantial majority stake—67%—of Gopax, a process that had been hindered by an extensive regulatory review lasting almost two years.
Initially, this acquisition was positioned as a necessary step to revive Gopax, which faced challenges related to its GoFi product and the fallout from a significant competitor’s collapse in the US. This acquisition aims to facilitate user access to their funds, enabling streamlined withdrawals and the settling of pending interest payments.
Implications for Gopax and Its Users
Insider reports indicate that the FIU’s approval followed extensive discussions regarding Gopax’s revised operational strategy and Binance’s commitments to addressing anti-money laundering regulations. This careful consideration reflects a cautious yet hopeful outlook from regulators.
Moreover, the scrutiny surrounding Binance in the US, which included a significant settlement for previous compliance failings, played a pivotal role in the review process. With official approval, Gopax is now expected to accelerate efforts to regain user trust and comply with the stringent regulations applicable to crypto exchanges within South Korea.
Market Reactions and Intensifying Competition
The reaction from local exchanges has been one of keen observation. Major players like Upbit and Bithumb, already dominant in the South Korean market, are likely to step up efforts regarding fee schedules and services due to the re-entry of a Binance-backed platform.
Traders have exhibited a mixed response; some view the expansion of options favorably, while others prefer to adopt a wait-and-see approach regarding Gopax’s governance and compliance measures before committing their funds.
Understanding the Prolonged Approval Timeline
The drawn-out approval process can be attributed to a focus on governance structures, management changes, and the handling of funds alongside Know Your Customer (KYC) protocols under Binance’s leadership. The significant delay between the initial purchase in February 2023 and final approval in October 2025 reflects the cautious stance taken by local regulators and the ongoing scrutiny faced by Binance across multiple jurisdictions.
Future Oversight and Compliance Requirements
Moving forward, Gopax is tasked with implementing compliance measures as promised to regulatory authorities. Continuous monitoring and potential further evaluations will form part of the ongoing oversight to ensure compliance with local regulations.
The image featured is sourced from Money, and the trading chart is provided by TradingView.
