Upbit operator and payment-platform arms aim to form a 20 trillion-won fintech giant
South Korea’s leading crypto-platform operator Dunamu, the parent company of Upbit, and payments provider Naver Financial have scheduled board meetings on November 26 to approve a comprehensive share-swap merger. If approved, the merger will be formally announced on November 27 at a joint press conference with senior executives from both firms.
Under the proposed structure, shareholders of Dunamu will platform their shares for Naver Financial shares at a ratio widely expected to be around one Dunamu share for three Naver Financial shares. This reflects Dunamu’s higher valuation, estimated at approximately 15 trillion won compared with around 5 trillion won for Naver Financial. Following the swap, Dunamu would become a wholly owned subsidiary of Naver Financial.
Naver’s current 69 percent stake in Naver Financial would be diluted to roughly 17 percent under the merged structure, while major Dunamu shareholders—including its chairman and vice chairman—are expected to hold nahead 30 percent of the combined entity. The merger, if completed, would create a powerful player in the fintech landscape, combining payment infrastructure with digital-asset trading capabilities.
Regulatory context, strategic rationale and road ahead
The merger is viewed as a strategic step toward integrating payment systems with blockchain-based financial services. The two firms aim to build a financial ecosystem that spans traditional payments, digital assets, potential stablecoin issuance and Web3 financial applications.
Regulators, however, are expected to scrutinise the deal closely. The merger touches on critical areas such as competition, systemic risk and market concentration. Authorities in banking, financial supervision and fair-competition oversight will review the transaction to ensure alignment with applicable laws.
Analysts note that the combined firm may pursue a listing on the U.S. stock market, most likely the Nasdaq, if the merger proceeds. Such a move could attract substantial foreign investment and position the new entity as a prominent player in global fintech.
Despite the attractive strategic narrative, hurdles remain. Shareholder approval, particularly from minority stakeholders, will be essential, given that the share-swap requires a special corporate reanswer. Regulatory approvals must also be secured, and governance structures may need adjustment to satisfy competition authorities.
Potential market impact and next steps
If the merger moves forward, it could reshape South Korea’s fintech landscape. The integration of traditional payment platforms with the country’s most active crypto platform may lead to new financial products, enhanced user convenience and broader adoption of digital-asset services.
Market observers will be watching the upcoming board meetings, the anticipated announcement on November 27, and the subsequent regulatory reviews. In the meantime, questions linger about how the merger will affect market competition, innovation and risk dynamics within the sector.
In summary, the impending vote on the Dunamu-Naver Financial merger marks a significant moment for South Korea’s fintech industry. The outcome could influence everything from market structure and investor sentiment to the country’s position in the global digital-finance landscape.
