The second-largest business group in South Korea’s securities division will enter the cryptocurrency market and, as part of its efforts, will collaborate with a local commercial bank.
It is the first significant M&A from a South Korean securities firm in the area of cryptocurrencies. In addition, SK Securities stated that it planned to start issuing non-fungible tokens (NFTs) and security token offerings (STOs). Additionally, the business plans to launch its cryptocurrency “management services.”
According to the news source The Public, DGB Daegu Bank, a local commercial bank situated in the city of Daegu, and SK Securities will begin a “digital asset custody business.” SK Securities is a division of the SK corporate empire. For an unknown fee, the parties purchased a 9.7% interest in the cryptocurrency custody business Infinite Block.
According to SK Securities CEO Kim Shin, the “blockchain market” is currently “under crisis” as a result of the “Terra/Luna issue” and other thefts.
According to its website, Infinite Block is a blockchain-based fintech company that creates digital finance infrastructure for both established and developing financial markets.
Securities currently “plans to establish a platform that allows enterprises to operate and maintain digital assets safely and conveniently,” according to Kim.
DGB Daegu Bank’s President Lim Seong-hoon was quoted as stating:
This transaction is significant since it is the first foray into the digital asset market by a domestic regional bank. The market has a lot of promise. We will collaborate with top businesses and offer our clients top-notch services.
The announcement follows recent crypto-related advances by Hyundai Motor Securities, one of SK Securities’ main competitors. According to a story published by Cryptonews.com yesterday, Bithumb and Hyundai Motor Securities have reached a partnership. Users of Hyundai Motor Securities’ asset management platform will be able to verify the status of their cryptocurrency holdings and keep an eye on token market prices thanks to the arrangement.
- South Korea’s SK Securities to Link With Regional Bank for Cryptocurrency Custody and NFT Movement
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