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Photo courtesy of Yonhap News |
[Alpha Biz= Kim Jisun] Coinone, South Korea’s third-largest cryptocurrency exchange, has been put up for sale, with discussions underway on various options including a partial stake sale by its largest shareholder, Cha Myung-hoon, chairman of the board.
According to financial industry sources on the 25th, Coinone is in the process of exploring the sale of a portion of Chairman Cha’s stake. Cha holds a combined 53.44% stake in the company, including shares owned personally (19.14%) and those held through his private entity, The One Group (3.43%). A Coinone official said the company is “discussing cooperation measures, including equity investments, with overseas exchanges and domestic financial institutions,” adding that “no specific structure has been finalized.”
Chairman Cha recently returned to the company’s management just four months after stepping down as CEO, a move that has fueled industry speculation that his comeback may be a prelude to a potential stake sale. Coinone, however, explained that Cha resumed an active role to strengthen technological differentiation as the company approaches a double-digit market share. A former white-hat hacker, Cha continued to focus on service development during his time away from management by forming a dedicated artificial intelligence (AI) team.
Industry observers also speculate that the stake held by Coinone’s second-largest shareholder, Com2uS, may be included in a potential sale. A senior industry official said, “I heard that Coinone was offered as a block deal between late last year and early this year,” adding that “there are reports that discussions reached the due diligence stage.” Com2uS acquired a 38.42% stake in Coinone between 2021 and 2022. However, as Coinone has continued to post losses, its book value stood at KRW 75.2 billion as of the end of the third quarter last year, well below the initial acquisition cost of KRW 94.4 billion.
The possibility of an equity investment by Coinbase, the largest cryptocurrency exchange in the United States, has also been raised. Coinbase is scheduled to visit South Korea this week and hold meetings with major local players, including Coinone.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
