Bithumb Aims for 2026 KOSDAQ IPO Amid Ownership Concerns

Bithumb, a prominent South Korean crypto exchange, has initiated the process of launching a spinoff company as part of its strategy to go public through an initial public offering (IPO). The exchange aims to debut on the KOSDAQ exchange in the first half of 2026. However, market insiders have expressed caution regarding lingering ownership questions that could affect the IPO process.

Bithumb's IPO plans gained momentum following a Supreme Court ruling in March that cleared the former Bithumb Holdings Chairman Lee Jung-hoon of fraud charges. This ruling allowed Bithumb to proceed with its spinoff plans, which were submitted to the Financial Services Commission (FSC) in April. After initial setbacks, the FSC approved Bithumb's amended application in late June. The newly established corporation, tentatively named Bithumb A, will act as a holding company and spearhead new business investments related to Bithumb.

Bithumb has chosen Samsung Securities as its lead manager for the KOSDAQ listing and is currently completing due diligence protocols. The exchange believes that this restructuring will optimize growth strategies for each of its business arms by separating their functions, thereby securing agility in new business avenues. However, market insiders remain cautious about the opaque governance structure, which could undermine investor confidence. Bithumb is currently owned by Bithumb Holdings, with significant stakes held by DAA, Vidente, and BTHMB, while other shareholders hold a 25.1% stake. The actual control structure between these parties has not been clearly revealed, raising concerns about transparency and social responsibility.

In related news, more domestic banks are joining a stablecoin alliance with the aim of co-launching KRW-pegged tokens. BNK Busan Bank recently announced its official membership in the Stablecoin Division at the Open Blockchain/DID Association (OBDIA) and has begun conducting joint research projects focusing on stablecoins. OBDIA, launched in 2018, added a stablecoin subgroup in April this year and has since attracted major banks such as Kookmin, Shinhan, Woori, Nonghyup, and IBK Industrial Bank. Neobanks K Bank and Toss Bank are also reportedly interested in joining OBDIA. Busan Bank plans to build a digital currency model for the South Korean market, leveraging its experience with the blockchain-powered local stablecoin Dongbaekjeon. The bank aims to develop capabilities that allow it to respond flexibly to various regulatory scenarios as stablecoin-related regulations are still in progress. Lawmakers are working on a bill to lay the groundwork for the issuance of private-sector stablecoins, which will partially reverse a ban on all forms of token issuance that has been in place since 2019.