Binance shakes up Korea, Morgan Stanley’s security tokens in Japan: Asia Express

Binance returns to South Korea

Binance is returning to South Korea nearly five years after exiting the market in December 2020, following the Financial Intelligence Unit’s (FIU) approval of its acquisition of Gopax — one of only five local exchanges authorized to provide crypto-to-fiat services.

South Korea's exchange duopoly dominated by Upbit and Bithumb — *Upbit and Bithumb have control about 99% of South Korea’s crypto market. Source:* *Kaiko*

According to a Maeil Business Newspaper exclusive, the FIU granted final approval on Wednesday, ending more than two years of uncertainty over Binance’s reentry. The exchange acquired a majority stake in Gopax in 2023, but the deal stalled amid regulatory scrutiny and Binance’s legal troubles in the US.

The return of the world’s largest cryptocurrency exchange could shake up South Korea’s long-standing duopoly of Upbit and Bithumb. Under the country’s crypto regulations, exchanges must partner with a domestic bank to offer real-name verified accounts. Though the system is designed to strengthen Anti-Money Laundering and Know Your Customer compliance, it has made market entry difficult for newcomers.

The approval also comes during a turbulent week for Binance. The company faced backlash over an oracle malfunction that critics allege triggered a $19 billion liquidation cascade during a sharp market downturn. Binance has denied that its technical glitch was the root cause of the mass liquidation event, but committed to a $283 million compensation campaign.

Top Japanese bank’s new token platform

Mitsubishi UFJ Morgan Stanley Securities has launched a new digital asset division focused on blockchain-based finance and introduced a retail platform for tokenized investments as its flagship service.

The new division has begun handling bond-type security tokens and plans to expand into tokens backed by real estate.

It’s a consolidated subsidiary of Japan’s largest bank by total assets, Mitsubishi UFJ Financial Group. A consolidated subsidiary is one in which the parent group holds a controlling stake — in this case 60% — and fully includes its financial results in group-wide reports. The other 40% is owned by Morgan Stanley in the US.

A list shows the top 10 Asia Pacific banks by total assets, cropped from top 50 — *The largest bank in Japan and the fifth-largest in Asia has opened a digital assets division. (S&P Global*)

The move aligns with the banking giant’s broader strategy to integrate blockchain-based assets into mainstream finance. The group has already been expanding into Web3 through initiatives involving stablecoins, tokenized deposits, and asset tokenization via its Progmat platform.

There’s been a wider institutional shift toward Web3 among Japan’s traditional finance and corporate giants. Nomura Group, Japan’s largest investment banking and brokerage conglomerate, said its Switzerland-based digital asset arm Laser Digital is in talks with local regulators to apply for a license to serve institutional crypto investors.

Elsewhere, SoftBank’s payment platform recently announced it had acquired a 40% stake in Binance Japan, while SBI’s joint venture with Ripple is developing a payment system on the XRP Ledger for the nation’s booming tour industry.

Crypto franchises buy out local exchanges to expand

Some of the world’s largest exchanges are deepening their presence in emerging markets. While earlier expansion efforts often involved setting up local operations from scratch, the new strategy now centers on acquiring or investing in already licensed exchanges — as seen in Binance’s return to South Korea through its purchase of Gopax.

Press announcement of HashKey and Hata's partnership on top of Coinbase's investment in CoinDCX — Exchanges are betting on licensed locals instead of setting up shop themselves. (HashKey/Coinbase)

Coinbase, the largest US-based exchange by trading volume, also follows this model. The company announced Wednesday that it invested in India’s CoinDCX, valued at around $2.45 billion. Coinbase has been eyeing a return to India after scaling back operations in 2022 due to regulatory hurdles and payment processing restrictions. CoinDCX, meanwhile, expanded into Dubai with its acquisition of BitOasis in July 2024.

The same blueprint is emerging in Hong Kong. On Tuesday, HashKey announced a partnership with Malaysian exchange HATA to deepen its expansion into Southeast Asia. The move follows OSL’s recent acquisition of Indonesia’s licensed exchange Koinsayang. HashKey and OSL are Hong Kong’s first two licensed cryptocurrency service providers.

In contrast, regulators across Asia are intensifying crackdowns on unlicensed exchanges. In late May, Thai authorities blocked access to Bybit, OKX, and several others for operating without local approval. Soon after, the Philippines issued warnings to ten exchanges for the same reason. Even Singapore, often viewed as a regional crypto hub, expelled unlicensed firms earlier this year.

Yonsei alumni association introduces crypto payments for membership fees

South Korea’s Yonsei University’s alumni association has introduced a system that allows members to pay fees in cryptocurrency. Alumni can now pay both regular and special membership fees using Bitcoin, USDT or USDC.

The university’s alumni association said it adopted the new payment option to make international transfers more convenient for overseas alumni.

Yonsei University campus covered in plants. — *Yonsei is famed both for its academic prestige and its frequent appearances in Korean dramas. (Janet Ganbold*)

For graduates of top universities like Yonsei, participation in the alumni network is often considered a valuable social and professional asset.

In South Korea, alumni associations play a significant role in professional networking, career advancement and social status. Membership fees help fund alumni events, student scholarships and university programs, but they also reinforce meaningful connections that often carry weight in professional networks.

Yonsei is one of South Korea’s most prestigious private universities and part of the so-called “SKY” trio (Seoul National University, Korea University and Yonsei University) whose alumni dominate the country’s elite circles, including top government posts and leadership roles in major conglomerates.

Blockchain data shows that someone has already paid $315 in USDC to the alumni association’s Ethereum wallet.

In 2025, South Korea eased rules to phase in institutional crypto participation, starting with certain nonprofit entities, including universities, to sell or convert cryptocurrencies.

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Yohan Yun

Yohan Yun is a multimedia journalist covering blockchain since 2017. He has contributed to crypto media outlet Forkast as an editor and has covered Asian tech stories as an assistant reporter for Bloomberg BNA and Forbes. He spends his free time cooking, and experimenting with new recipes.