Binance Returns To Korean Crypto Market – Troubled Exchange Invests In GoPax
Cryptocurrency exchange Binance announced on Friday that it has invested in Gopax, a crypto exchange licensed in South Korea. The investment marks the return of leading crypto exchange Binance to the crypto currency market, which it exited 2 years ago due to low usage and trading volumes. Licensed Crypto Exchange
GoPax had halted withdrawals of both principal and interest payments from its decentralized exchange service “GoFi” in November last year. This was also as a result of challenges experienced by “Genesis Global Capital LLC”. Since then, affected users are working with regulators and industry partners in an effort to raise further funds to complete the transaction. The global crypto exchange explains that Binance will charge any potential users against all amounts including interest as such transactions shall infuse capital into Gopax for the purpose of securing the entirety of the Withdrawal Request.
Gopax has previously pointed out that GoPax and its products are provided by partner, Genesis Global Capital, a subsidiary of Digital Currency Group and which has managed redemptions and new loan originations in its lending Global Trading following the collapse of the crypto exchange. slap down . The crypto lender filed for bankruptcy in January in a lawsuit by the US Securities and Regulation Commission that substantiated allegations that the company sold and offered unregistered securities to retail investors. GoPax’s parent company, Streamy Inc. Following the bankruptcy filing, Genesis is registered or listed as one of Global’s 10 largest creditors.
The company has acquired a “meaningful” equity stake in Gopax, according to Binance’s chief business officer, Yibo Ling, but terms of the deal were not disclosed. Binance’s stake in Gopax is part of its Industry Recovery Initiative (IRI) that was launched last November following the collapse of crypto exchanges following the bankruptcy filing of several crypto farms. The CEO of Binance insists that this initiative was created to support “promising companies that have been affected by the negative events of the past year and now he hopes to definitely take this step with Gopax”. will lead to a creation of the Korean crypto and blockchain industry”.
The two crypto exchanges will “educate users through the Binance Academy and work together with them through cryptocurrency and blockchain awareness campaigns,” Friday’s announcement said. Committed to collaborating with local regulators and stakeholders to find out how, leveraging technology and ingenuity, it can certainly leverage this ecosystem and use it in a significant way and a local environment Can change in species and ecosystems. South Korea’s government announced this week that it will implement a cryptocurrency tracking system within the first half of the year, and that the country’s financial supervisory service has also introduced monitoring tools to regularly monitor the risks associated with crypto assets, revealed its plans to develop.
