Kiwoom Securities Negotiates Stake in South Korea's Bithumb Exchange

South Korean brokerage Kiwoom Securities is in early talks to acquire a stake in cryptocurrency exchange Bithumb by purchasing newly issued shares through a private placement. No terms have been finalized; the size of the investment and the percentage of ownership are still under negotiation.

Bithumb is preparing for a 2028 initial public offering and has recently faced regulatory actions, including a fine for improper overseas transfer of personal data and penalties for anti‑money‑laundering deficiencies. South Korea’s forthcoming Digital Asset Basic Act will cap major shareholder stakes in virtual‑asset exchanges at 20% (up to 34% under certain conditions), prompting Bithumb, which currently has a 73.5% holding by its parent, to seek dilution of ownership.

The prospective deal would add Kiwoom to a growing list of traditional financial firms entering the domestic crypto sector, alongside Hana Bank’s stake in Upbit operator Dunamu, Samsung affiliates’ investment in Dunamu, OKX Ventures’ purchase of a share in Coinone, and Binance’s acquisition of Gopax.