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South Korea panel backs VASP shareholder review exceptions in Dunamu deal

South Korea panel backs VASP shareholder review exceptions in Dunamu deal

The recommendation may ease one regulatory hurdle for Naver, but antitrust scrutiny remains as the Fair Trade Commission examines whether a tie-up with Dunamu could harm competition.

Fact Check
The claim is corroborated by the primary Chosun Ilbo exclusive report and three independent outlets (Bloomingbit, Cryptonews, CoinNess). All agree that South Korea's Presidential Regulatory Reform Committee recommended adding exception clauses to the FSC's proposed VASP major-shareholder screening rules, which would otherwise have blocked Naver's acquisition of Dunamu over a first-instance Fair Trade Act violation ruling (₩200M fine). Each element of the claim — the panel recommendation, VASP shareholder review exceptions, the Dunamu deal, the FSC amendment concern, and the Fair Trade Act ruling — is directly supported.
Summary

A presidential regulatory reform panel’s recommendation to add exceptions to major shareholder eligibility rules for virtual asset service providers may remove one obstacle to Naver’s proposed acquisition of Dunamu, but South Korea’s antitrust regulator said the merger review remains a separate issue. The Regulatory Reform Committee’s growth subcommittee recommended that the Financial Intelligence Unit include an exemption clause in revisions to the enforcement decree under the Special Financial Transactions Act after criticism that the original proposal treated minor violations and corporate joint-penalty cases too harshly. That could ease concerns over Naver’s eligibility because the company is standing trial on allegations it violated the Fair Trade Act in connection with its real estate information service. The Korea Fair Trade Commission said it will closely examine whether combining Naver Financial and Dunamu could create market dominance, exclude rivals or limit consumer choice by linking Naver’s payment infrastructure, data and user base with Dunamu’s crypto trading business. Edaily reported on July 25 that the commission views the shareholder-rule recommendation and its competition review as separate matters. Earlier reported hurdles still remain, including shareholder meetings scheduled for Nov. 19 to approve the share swap, the share-swap date set for Dec. 31, and uncertainty around the proposed Digital Asset Basic Act.

Terms & Concepts
  • virtual asset service providers: Registered businesses that provide services related to digital assets such as exchanges or custody.
  • major shareholder eligibility rules: Regulatory standards used to determine whether a significant or controlling investor is fit to hold a stake in a licensed financial business.
  • market dominance: A level of market power that can let a company restrict competition, exclude rivals or reduce consumer choice.