Deal marks Korea’s biggest fintech consolidation, expanding Naver’s reach into crypto, trading, tokenized finance
South Korea’s leading internet platform Naver and cryptocurrency exchange operator Dunamu are moving toward a landmark merger that would create a 20 trillion won ($13.6 billion) fintech powerhouse, combining payments, digital assets and artificial intelligence-driven financial services under one roof.
Naver said Wednesday that its board, along with that of its fintech affiliate Naver Financial, approved a sweeping share-swap agreement under which Naver Financial will acquire full ownership of Dunamu, the operator of Korea’s largest crypto exchange, Upbit.
Under the proposed terms, each Dunamu share will be exchanged for 2.54 shares of Naver Financial. The ratio implies a valuation of roughly 15 trillion won for Dunamu and about 5 trillion won for Naver Financial. A shareholder vote is set for May 22, with the transaction scheduled to close by June 30 if approved.
Once completed, the deal would mark one of the most consequential consolidations in Korea’s fintech and virtual asset sectors, uniting Naver’s vast digital ecosystem with Dunamu’s blockchain infrastructure and deep liquidity in crypto markets.
Naver founder Lee Hae-jin and Dunamu Chair Song Chi-hyung are slated to hold a rare joint press conference Thursday to detail their strategic roadmap. The event marks Lee’s first public appearance in nearly nine years, signaling the weight the company places on the merger.
“The integration of Dunamu will enable us to create powerful synergies across AI, search, digital payments and blockchain technology,” a Naver official said. “As global tech shifts toward a Web3 paradigm, this merger positions us at the forefront of innovation and international expansion.”
The official added that Naver aims to advance the adoption of digital assets, attract top talent and strengthen the global competitiveness of K-fintech. Upon completion, Dunamu’s Song is expected to become the largest shareholder of Naver Financial, cementing the combined entity’s influence in Korea’s rapidly evolving fintech landscape.
Shareholder approval is expected for Naver Financial, of which Naver owns 70 percent. Dunamu, however, must secure consent from major stakeholders including Song (25.53 percent), Vice Chair Kim Hyoung-nyon (13.11 percent), Kakao Investment (10.59 percent), Woori Technology Investment (7.2 percent) and Hanwha Investment & Securities (5.94 percent).
Market analysts say the merger could create a next-generation “superapp” by integrating Naver Pay’s payment, points, lending and insurance offerings with Upbit’s crypto trading platform and Dunamu’s Securities Plus investment service. The scale of the combined platform would also pave the way for Korean-won stablecoins, tokenized securities and other Web3 financial products.
With Dunamu generating around 1 trillion won in annual operating profit, the merged group would become one of Korea’s most profitable fintech firms, rivaling major banks and tech-driven finance players in both capital strength and user reach.
Still, the deal faces multiple regulatory reviews. The Fair Trade Commission and financial regulators will scrutinize the merger for market concentration, consumer impact and systemic risks, a process likely to take a year or longer. Regulators will also consider whether the merger warrants easing Korea’s longstanding “financial-virtual asset separation” guideline, which limits cooperation between traditional finance and crypto firms.
“We will broadly review whether easing this regulation aligns with global trends,” said Kim Sung-jin, head of the Financial Supervisory Service’s virtual asset division.
The FTC will assess both horizontal and vertical competition effects, with bureau chief Lee Byung-geon saying authorities will coordinate closely with financial regulators to evaluate the merger’s broader implications.
By Jie Ye-eun ([email protected])
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