Hana Bank has agreed to acquire 2.284 million shares in Dunamu, the parent company of Upbit, from Kakao Investments for approximately 1.003 trillion won (₹670 million). According to reports from Reuters, this transaction will make Hana Bank the fourth-largest shareholder in Dunamu with a 6.55% stake. The deal was approved by Hana's board and involves the purchase of 228 million shares from Kakao Investment, with Kakao Investments retaining 1.4 million shares representing a 4.03% stake after the sale. This marks South Korea's largest-ever bank investment into a digital asset firm, as reported by Hana Bank in its Friday regulatory filing. The acquisition also marks one of the largest direct investments by a South Korean financial institution into a crypto-related business, demonstrating how Korean banks now view regulated digital asset platforms as core partners rather than risky outliers.
Hana Bank stated that the investment aims to "improve competitiveness within the changing financial industry" and "secure competitiveness in the evolving financial landscape through strategic equity exposure to digital asset infrastructure," as reported by Reuters. The purchase will be executed using 2.78% of Hana's equity in a cash transaction, with Hana Financial Group having reported 4 trillion won ($2.67 billion) in annual net profit last year. This strategic move represents a significant shift as major Korean finance and technology groups move closer to crypto businesses. The bank used only 2.78% of its total equity for the purchase, highlighting confidence in the long-term growth of digital assets. Hana Financial Group has steadily increased its exposure to blockchain and digital asset businesses throughout the past year, including earlier partnerships with Circle and Crypto.com for USDC marketing initiatives and a Standard Chartered Group partnership focused on digital asset cooperation. Hana Financial Group Chairman Ham Young-joo emphasized that "this equity investment is a strategic decision to accelerate digital asset-based financial innovation," adding that "together with Dunamu, we will take the lead in promoting the creation of a K-blockchain ecosystem and concentrate all of the group's capabilities so that the domestic digital asset industry can leap to a globally leading level."
The investment announcement has triggered significant market activity, with XRP trading volume surpassing Bitcoin on Upbit for the first time. According to latest reports, the XRP/KRW trading pair recorded more than $330 million in 24-hour volume, outperforming Bitcoin's $217 million and Ethereum's $109 million. This surge follows a 7% jump in XRP price to $1.55 after the Senate committee advanced the CLARITY Act, with XRP currently trading at $1.46. XRP futures open interest has also climbed 6% to $3.12 billion in 24 hours. The massive trading volume spike in XRP, which has historically signaled potential price momentum for the token, is attributed to increased Korean retail interest and the broader institutional interest that Hana Bank's investment could bring to the crypto market.
Hana Financial and Dunamu now plan to work together on blockchain-based financial services, stablecoins, overseas remittance systems, and digital asset wealth management products. A big part of the partnership revolves around Dunamu's blockchain network called "Giwa Chain." The two firms have already been testing blockchain-powered foreign currency transfers using the network, completing a pilot program that recreated traditional SWIFT-style remittance systems on blockchain infrastructure. In April, they also partnered with POSCO International for real-world testing. One of the biggest developments from the partnership is the push toward a won-backed stablecoin ecosystem. The two companies plan to cooperate on stablecoin issuance, settlement systems, payments, and broader digital financial infrastructure as competition around blockchain payments continues growing across Asia. Recently, Hana Financial TI completed a proof-of-concept for a Korean won-backed stablecoin on the XRP Ledger (XRPL), collaborating with XRPL Korea and Axelar to enhance cross-border payments and institutional crypto adoption in the country.
Upbit remains South Korea's largest crypto trading platform, handling more than 80% of the country's virtual asset trading volume, according to Reuters. The exchange continues to drive significant activity in Korean crypto trading, with recent updates showing fresh Upbit actions including a Cosmos ATOM transfer pause for network upgrades and the planned delisting of NKN's BTC market in June. Upbit is also among the largest global spot exchanges, with over $1 billion in daily trading activity, as reported by Hana Bank. The company reported assets worth 13.17 trillion won last year and generated around 709 billion won in net profit on sales of 1.56 trillion won. The platform currently processes $26 billion in weekly trading volume, representing 30% of global spot crypto activity, making it the single most dominant exchange position of any crypto platform in a major economy globally.
South Korea's regulatory environment continues evolving as lawmakers and regulators prepare the Digital Asset Basic Act, which will introduce broader crypto guidelines, including stablecoin-related regulations. The investment comes as South Korean regulators continue pushing crypto firms to improve governance structures and reduce concentrated ownership inside the industry. Hana Bank's massive investment into Dunamu reflects changing regulations that continue encouraging closer cooperation between banks, technology firms, and digital asset platforms. Hana Financial also plans to combine Upbit's crypto infrastructure with traditional banking products like pensions, trusts, and investment services, positioning the partnership as a comprehensive financial services integration. The era of banks treating crypto as a reputational risk is over, with institutional capital now structurally committed to the domestic crypto market through this $670 million proof of concept in Seoul. South Korea has also eased rules on corporate crypto holdings, with listed companies now able to invest up to 5% of equity in digital assets, as a result, the Dunamu deal reflects broader acceptance of crypto within Korea's financial system.
