Binance finalizes acquisition of domestic exchange GOPAX

Binance appears to have finalized the acquisition of the domestic exchange GOPAX (GOPAX).

On the 16th, according to industry sources, the Financial Intelligence Unit (FIU) under the Financial Services Commission late the previous night accepted GOPAX's notification of a change in its major shareholder. It is analyzed that the fact that a significant portion of Binance's regulatory risks in the United States has been resolved influenced this decision.

Earlier, in February 2023, Binance acquired a 67% stake in GOPAX, becoming the largest shareholder, and in March of the same year submitted a report of executive changes to the FIU. However, the financial authorities maintained a cautious stance, continuing their review for about two and a half years. This was because they needed to closely examine the impact that Binance's participation as GOPAX's major shareholder would have on the domestic anti-money laundering (AML) system.

Under current domestic law, there is no separate qualification screening for major shareholders of virtual asset exchanges, but authorities review notifications based on the criminal records and violations of financial laws of business operators, representatives, and executives. Accordingly, the approval process for GOPAX's executive changes is evaluated as having effectively served as a verification of Binance's suitability as a major shareholder.