Virtual currencies are of great interest to many different businesses these days. No one really expects the gaming industry to show any keen interest in this concept. Over in South Korea, things are done very differently. Nexon, the country’s largest game developer, acquires the Korbit exchange. Most people know Korbit as one of the top three cryptocurrency exchanges in South Korea. This new deal will herald an interesting new era, that much is certain.
On the surface, it doesn’t make much sense for Nexon to acquire Korbit. Then again, the game developer did acquire the company’s management rights. Additionally, they now hold a 65.19% stake in Korbit, which are allegedly purchased for 91.3 bn Won. It is a major merger & acquisition deal for the region, to say the least. Bringing gaming and cryptocurrency trading together will yield some interesting results. Korbit is a well-respected cryptocurrency exchange in its own right.
Nexon Enters the Realm of Cryptocurrency Trading
The company receives praise from venture capitalists inside and outside of South Korea. Tim Draper is also a big fan of the company and one of its early investors. With the company attracting around 10 billion Won in investments to date, their brand can no longer be ignored. Although it remains to be seen what Nexon plans to do exactly, this business deal is a major development. Acquiring one of the world’s top 20 exchanges is not something that should be ignored whatsoever.
According to Nexon sources, the goal is to diversify the business altogether. Virtual currencies and related transactions will keep on growing over time. Everyone wants to be part of the cryptocurrency and blockchain revolution, for obvious reasons. That also means existing businesses have to look for ways to expand their reach and presence. The acquisition of Korbit is the first major deal of its kind related to domestic virtual currency companies.
Contrary to what some people may think, Nexon has no plans to issue their own currency on Korbit. Although those plans are not set in stone, very little will change for the exchange and its users. Companies in South Korea are actively diversifying, which is a good sign. It also shows how the region may become the next Bitcoin hub, especially now that China is trying to distinguish itself from it. It is not unlikely we will see more of these merger & acquisition deals in Korea moving forward.