Bithumb Considering ‘Nasdaq Listing’... Will Korean Exchanges Compete in the U.S.? [Crypto Briefing]

[Financial News] With rumors circulating about a merger between Dunamu Inc. and NAVER Financial Corporation and a potential Nasdaq Stock Market (Nasdaq) listing, Bithumb is also reportedly considering entering the U.S. stock market. However, regulatory sanctions from financial authorities and the need to enhance its appeal in the global market remain challenges.
According to the virtual asset industry on the 2nd, Bithumb is reviewing the possibility of listing on the U.S. stock market. At an extraordinary shareholders’ meeting held last September, Bithumb responded to questions about a potential Nasdaq listing by stating, “We are considering all open markets, including Korea and the United States.” It is reported that the possibility remains under review even now.
Among U.S. stock markets, a listing on the Nasdaq is considered the most likely scenario. The Nasdaq is known as a tech-focused market, home to companies like Apple, Tesla, and Nvidia. For Bithumb, a virtual asset exchange operating in the tech and fintech sectors, it would be a suitable fit. U.S. virtual asset exchange Coinbase is also listed on the Nasdaq.
However, regulatory risks from financial authorities remain a major obstacle. Both in Korea and the U.S., regulatory compliance is scrutinized during the listing review process. On the 1st, the Financial Intelligence Unit (FIU) conducted an on-site investigation to determine whether Bithumb had violated regulations while sharing its Order Book with the Australian virtual asset exchange Stellar Exchange.
Additionally, last month, even after the financial authorities restricted virtual asset lending beyond collateral value, Bithumb continued to allow lending up to 200% of collateral assets before recently adjusting the ratio.
Furthermore, Bithumb is currently seen as lacking competitiveness in the U.S. stock market. Since its business model is largely limited to virtual asset brokerage, analysts believe it may struggle to compete with global exchanges that offer trading services worldwide.
As a result, there is speculation that Bithumb may pursue a Nasdaq listing in partnership with a major fintech company, similar to the case of Dunamu Inc. By presenting a fintech-integrated business model that goes beyond a simple exchange, Bithumb aims to enhance its market appeal.
In this scenario, Toss, which is already collaborating with Bithumb on stablecoin-related projects, is mentioned as a potential partner. Toss is also reportedly considering a Nasdaq listing. In July, Bithumb launched ‘BPay’, and on the 26th of last month, it filed for five trademarks related to ‘Bithumb Pay’, signaling its expansion into the simple payment business.
Currently, Bithumb is aiming for a ‘Korean Securities Dealers Automated Quotations (KOSDAQ)’ listing in April next year. Some predict that after raising funds through a domestic listing, Bithumb could enter the Nasdaq via methods such as American Depositary Receipt (ADR).
An ADR is a certificate issued by a U.S. bank representing shares of a foreign company. Many Korean companies have listed on the U.S. stock market through ADRs, including POSCO, SK Telecom, LG Display Co., Ltd., and KT Corporation (KT).
Ji Youl Jung, a professor at the Hanyang University Business Education Center, stated, “Currently, Bithumb faces regulatory hurdles from financial authorities and has a limited business model, making it difficult to list on the Nasdaq. Dunamu Inc. was in a similar situation, which is why it partnered with NAVER to diversify its business model before attempting a Nasdaq listing. Entering the global market and expanding capital raising are attractive prospects for virtual asset exchanges.”
A Bithumb official commented, “All possibilities remain open, and nothing has been decided yet.”
[email protected] Im Sang-hyuk Reporter