Hana Financial Group, South Korea's fourth-largest banking conglomerate by assets ($435 billion), on May 15 approved the purchase of a 6.55% stake in Dunamu — the operator of Upbit, the country's dominant crypto exchange — for 1.003 trillion won ($670 million). The deal, which acquires shares fro...
"This equity investment is a strategic decision to accelerate digital asset-based financial innovation. Together with Dunamu, we will take the lead in promoting the creation of a K-blockchain ecosystem." — Ham Young-joo, Chairman, Hana Financial Group
Hana Financial Group, South Korea's fourth-largest banking conglomerate by assets ($435 billion), on May 15 approved the purchase of a 6.55% stake in Dunamu — the operator of Upbit, the country's dominant crypto exchange — for 1.003 trillion won ($670 million). The deal, which acquires shares from Kakao Investment, marks the largest direct equity investment by a Korean bank into a crypto exchange operator. Hana becomes Dunamu's fourth-largest shareholder, behind founder Song Chi-hyung (25.51%), Vice Chair Kim Hyoung-nyon (13.1%), and Woori Technology (7.2%).
The transaction is more than a financial bet. The accompanying MOU covers won-denominated stablecoin issuance, blockchain-based cross-border remittances via the GIWA Chain Layer 2 network, and a joint wealth management product. It sits at the intersection of three converging forces: Korea's pending Digital Asset Basic Act, a multi-player race to issue the first regulated won stablecoin, and the $10.3 billion Naver Financial-Dunamu merger now awaiting shareholder approval on May 22.
Taken together, these developments signal a structural shift in how one of Asia's largest retail crypto markets is being absorbed into its traditional banking infrastructure — a process that, depending on regulatory outcome, could produce a fully integrated bank-exchange-stablecoin stack within 18 months.
Hana Bank's board resolved to acquire 2,284,000 Dunamu shares from Kakao Investment at approximately 439,300 won per share, totaling 1.003 trillion won ($670 million). Kakao's Dunamu holding drops from 10.58% to approximately 4.03% post-sale. Kakao originally invested 35.5 billion won in Dunamu after the exchange was founded in 2012 — the sale price represents a roughly 300x return on invested capital. The deal is expected to close in June 2026.
For Hana Financial Group, which reported total assets of 659 trillion won ($435 billion) as of Q3 2025, the investment amounts to approximately 0.15% of group assets. The position is modest in balance sheet terms but carries strategic weight: it gives Hana a board-level relationship with the operator of an exchange that processes $2-4 billion in daily trading volume and commands approximately 80% of Korea's domestic crypto trading market.
The transaction was not competitive. Reports from earlier in 2026 indicated Samsung Financial affiliates had considered bidding for the Kakao stake at approximately 1 trillion won, but ultimately did not proceed.
Dunamu generated 1.73 trillion won in consolidated revenue in 2024, a 70.5% year-over-year increase. Operating income reached 1.19 trillion won (up 85.1% YoY), and net income hit 983.8 billion won (up 22.2% YoY). Full-year 2025 saw a pullback: revenue declined approximately 10% to roughly $1 billion as crypto trading volumes cooled, with net profit falling 27.9% to 708.9 billion won ($468 million), according to The Block.
Q3 2025 individually was stronger, with revenue of approximately $265 million (up 103.8% YoY) and operating profit of $162.3 million (up 180.3% YoY), driven by a rebound in global crypto sentiment.
Upbit lists over 180 tokens across 300+ trading pairs. Over the last 30 days, Upbit's total trading volume was $35.7 billion ($434.8 billion annualized), with volumes up 16% compared to the prior 30-day period, according to CoinGecko. The exchange serves over 8 million verified users and ranks in the global top five for spot volume.
The Hana-Dunamu partnership is already operational at the infrastructure layer. GIWA Chain is a Layer 2 blockchain developed by Dunamu, compatible with Ethereum and designed for high-speed, low-cost transactions targeting real-world financial applications.
Cross-border remittances. In February 2026, Hana and Dunamu completed a proof of concept that replicated key functions of the SWIFT payment system on GIWA Chain. In April, the partnership expanded with a formal MOU including POSCO International for commercial testing of blockchain-based overseas remittances and inter-company fund transfers. The stated target: reduce cross-border remittance fees from above 6% to below 1%. The partners plan to establish a real-time remittance system within 2026, with a commercial launch contingent on pilot success.
Won stablecoin infrastructure. The MOU between Hana and Dunamu covers won stablecoin cooperation spanning issuance, circulation, usage, and redemption. This positions the pair as one of several competing stablecoin issuance frameworks now taking shape in Korea.
At least six distinct initiatives are competing to issue the first widely adopted won-pegged stablecoin:
KRW1 (BDACS + Woori Bank): South Korea's first regulated won-backed stablecoin, launched in February 2026 on Avalanche (later expanded to Polygon). Each token is backed 1:1 by won held in escrow at Woori Bank with real-time banking API integration. BDACS has partnered with Plume, a real-world asset network with approximately $645 million in tokenized assets, to allow Korean institutional investors to access RWA instruments denominated in KRW1.
Eight-bank consortium: KB Kookmin, Shinhan, Woori, NongHyup, Industrial Bank of Korea, Suhyup, Citibank Korea, and Standard Chartered First Bank are developing a shared won-pegged stablecoin. The consortium proposes a two-track issuance model: one version backed by client funds held in escrow via a trust structure, and another linked to on-balance-sheet deposits. Bank of Korea Senior Deputy Governor Ryoo Sang-dai has stated that "It is desirable to first allow banks, rather than non-bank entities, to issue won-based stablecoins."
Hana + Dunamu (via GIWA Chain): The newly formalized partnership, focused on issuance, payments, distribution, and circulation within Korea's digital economy.
Bank of Korea CBDC (Digital Won): Phase 2 testing is underway with nine participating banks, including large-scale won-pegged deposit tokens and peer-to-peer transfers. The government aims to disburse subsidies in digital currency in H1 2026, starting with electric vehicle charging infrastructure subsidies.
The competitive dynamics are complicated by a regulatory stalemate. Dollar-pegged stablecoins (USDT, USDC) reached 56.95 trillion won ($41.6 billion) in trade volume during Q1 2025, tripling since Q3 2024. That surge has created urgency among Korean regulators and banks alike to establish domestic alternatives.
South Korea's comprehensive crypto framework — the Digital Asset Basic Act — remains under active legislative discussion but is delayed by a central disagreement over stablecoin issuance authority.
The Bank of Korea position: Only bank-led consortia with a minimum 51% bank ownership stake should issue stablecoins. The central bank argues this is necessary to protect monetary stability and prevent systemic risk.
The FSC (Financial Services Commission) position: No fixed ownership threshold. The FSC has warned that limiting issuance to bank-led structures could sideline technology firms and slow payments innovation.
Key provisions already agreed upon:
Implementation is targeted for late 2026 or 2027. A government-sponsored stablecoin bill is expected by end of 2026.
South Korea remains one of the world's most active retail crypto markets. Approximately 25 million people — nearly half the country's 51 million population — have opened accounts at virtual asset exchanges, according to April 2025 data. Active investors number approximately 9.91 million.
However, the market's character is shifting. The kimchi premium — historically a positive price spread of up to 10% on Korean exchanges versus global benchmarks — has inverted. As of March 2026, assets on Korean exchanges traded at approximately a 2% discount to Binance. According to market analysts, retail investors have shifted from speculation toward cash-outs amid regulatory uncertainty, declining liquidity, and a depreciating won.
The FSC's decision to allow approximately 3,500 listed companies and professional investment firms to re-enter the crypto market may partially offset declining retail volumes. The extent of corporate uptake remains unknown.
The Hana deal lands as Dunamu simultaneously navigates a $10.3 billion all-stock acquisition by Naver Financial, South Korea's dominant internet payments platform. The share-swap deal (each Dunamu share exchanged at 2.54 Naver Financial shares) would make Dunamu a wholly owned subsidiary. Shareholders vote on May 22, 2026. The original target of June 30 for share exchange completion was pushed back three months to September 30, as the Korea Fair Trade Commission's merger review took longer than anticipated.
If completed, the Naver-Dunamu combination would create a single entity controlling Korea's leading search engine, payments infrastructure, and crypto exchange — along with the emerging stablecoin and blockchain remittance stack. Hana's 6.55% equity stake would transfer into this combined entity, embedding a major commercial bank directly into a tech-finance conglomerate.
The structural implications are significant. Korea would have a vertically integrated digital finance platform connecting 30+ million Naver users to Upbit's crypto infrastructure, Hana's banking license, and GIWA Chain's settlement layer — a configuration that has no direct parallel in any other major market.
The Hana-Dunamu deal is not an isolated transaction. It is one node in a rapidly forming network connecting Korean banks, tech conglomerates, regulators, and blockchain infrastructure into an integrated digital finance stack. The commercial logic is straightforward: Upbit dominates Korean crypto trading, Hana needs digital asset capabilities, and both need stablecoin infrastructure to compete with dollar-denominated alternatives capturing tens of billions in quarterly volume.
The risk concentration is equally straightforward. If the Naver merger closes and regulatory approval follows, a single corporate structure would control search distribution, payment rails, crypto exchange execution, and potentially won stablecoin issuance. Whether Korea's regulators view that as a feature or a systemic risk will likely determine the final shape of the Digital Asset Basic Act.
For now, the data shows Korean banks moving from arm's-length compliance partnerships to direct equity stakes. The 670 million dollar question is whether the regulatory framework will keep pace with the capital already deployed.