Korea Investment Securities, OKX Ventures to Buy 20% Each in Coinone

Korea Investment Securities will invest about $58 million to acquire about a 20% stake in South Korean cryptocurrency exchange Coinone, becoming a joint third-largest shareholder.

Coinone said on May 29 that Korea Investment Securities and OKX Ventures had agreed to acquire about 20% each of the company. Each investment is valued at about 80 billion won, or roughly $58 million. After the deal, the two firms will become Coinone’s joint third-largest shareholders, behind Chief Executive Officer Cha Myung-hoon with 30.36% and Com2uS Holdings with 24.54%.

The companies held a signing ceremony for the strategic equity investment agreement at Coinone’s headquarters in Seoul’s Yeouido district on May 29. Attendees included Korea Investment Securities CEO Kim Sung-hwan, OKX Global Markets Chief Commercial Officer Netero Dai, Cha and Com2uS Holdings CEO Jeong Cheol-ho.

The transaction will be carried out through Korea Investment Securities and OKX Ventures buying some existing shares held by Cha and Com2uS Holdings, as well as newly issued shares. Cha will retain management control after the investment.

Korea Investment Securities plans to use the deal as a launch point for its digital-asset business and secure a new growth driver. The firm said it would combine its traditional financial services with Coinone’s blockchain capabilities to build a differentiated competitive edge. It also aims to strengthen Coinone’s credibility and trading stability using its know-how in internal controls and risk management.

Kim called the investment a first step beyond traditional finance into new blockchain-based digital-finance businesses. He added that the company aims to become a leading player in the global digital-asset market by launching innovative financial products using security tokens, or STOs, and linking them with stablecoins.

Coinone said the partnership with OKX Ventures would allow it to draw on OKX’s experience and know-how in overseas market operations. The exchange plans to work with OKX on user protection, operational stability, security systems and risk-management practices.

Dai said South Korea is one of the world’s most mature digital-asset markets. He added that he hopes the close cooperation will help build compliant digital-finance services for Korean investors.

Cha said Coinone selected leading partners in each sector that could maximize synergies with the exchange. He added that the company would make every effort to follow procedures and communicate with financial authorities to ensure smooth approval of the change in major shareholders.

Coinone, Korea Investment Securities and OKX Ventures plan to hold a joint press briefing next month to explain the background and goals of the investment.