OKX Ventures, the investment arm of cryptocurrency exchange OKX, will invest KRW 80 billion ($53 million) for a 19.6% stake in South Korean cryptocurrency exchange Coinone, the companies announced Friday, marking one of the largest recent investments by a global crypto firm in Korea’s digital asset sector.
Korea Investment & Securities (KIS), one of South Korea’s largest brokerages, will make an identical investment of 80 billion. KRW and also hold a 19.6% stake after the completion of the transaction, which remains subject to regulatory approval.
The total deal of KRW 160 billion ($106 million) will be structured through a mix of secondary share purchases from existing shareholders and subscriptions to newly issued shares, according to a company statement.
Following the investment, Coinone CEO Cha Myunghun is expected to remain the exchange’s largest shareholder with a 27.8% stake and retain management control. Com2uS Holdings and its subsidiaries will own 25%, while OKX Ventures and KIS will become joint third largest shareholders.
The deal formalizes discussions first reported by Yonhap earlier this month, which said OKX and KIS were considering acquiring around 20% of the shares in Coinone.
