As reported by local media, KEB Hana Bank, one of South Korea’s largest financial institutions, has unveiled its plans to enter the digital asset custody arena with a strategic partnership with BitGo Trust Company. The announcement, made on the 5th of September, marks a significant development in South Korea’s evolving cryptocurrency landscape.
The partnership was officially announced during the ‘Korea Blockchain Week (KBW) conference at the prestigious Shilla Hotel in Jangchung-dong. Under this strategic business agreement, KEB Hana Bank and BitGo will jointly explore the digital asset custody business, coinciding with the establishment of BitGo’s Korean corporation.
While the specifics of the partnership are still under discussion, both entities are contemplating various collaborative avenues. These include the possibility of joint equity investments in a newly formed joint venture (JV) corporation, leveraging BitGo’s cutting-edge security solutions and digital asset custody technology, and capitalizing on Hana Bank’s financial service expertise and robust security and compliance capabilities.
Founded in 2013, BitGo has emerged as a prominent global provider of digital asset custody services. The company’s offerings encompass wallet solutions, custody services, staking options, and trading facilities. Noteworthy is its accreditation from regulatory bodies in the United States, Switzerland, and Germany. Serving an extensive clientele comprising over 1,500 organizations across more than 50 countries.
An official from Hana Bank emphasized the partnership’s potential to enhance trust and consumer protection within South Korea’s burgeoning digital asset market. Meanwhile, BitGo’s CEO and co-founder, Mike Belsey, expressed the company’s commitment to elevating transparency and safety standards within the Korean digital asset industry through this collaboration.
BitGo’s Expansion Plans In South Korea
Additionally, BitGo is gearing up to establish an office in South Korea in the latter half of 2024, subject to securing the necessary licenses in compliance with local regulations. The company recently wrapped up a successful US$100 million Series C funding round, propelling its valuation to an impressive US$1.75 billion.
These recent advancements in South Korea’s regulatory landscape coincide with the Financial Services Commission’s planned amendments to electronic securities laws. These changes aim to include blockchain-powered security tokens within the country’s regulatory framework, further solidifying its standing in the global digital asset arena.
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