BY CNA team - November 1, 2018
Bithumb to operate US security token exchange
Seoul-based Bithumb is spreading its wings to the US after signing a deal with seriesOne Holdings, which owns a crowdfunding portal, to operate a security token exchange.
Yonhap News Agency says in a Nov 1 report quoting sources that the deal calls for Bithumb to invest in and provide technical support for the security token exchange.
Sources told Yonhap that seriesOne is pushing for the exchange to be set up in the first-half of 2019, with Bithumb to be the technology provider as well as operator.
“seriesOne actively sought to strike a deal with Bithumb after assessing it as the most suitable partner,” a Bithumb official tells Yonhap.
“Bithumb will ramp up efforts to develop into a global financial firm as the blockchain-based asset tokenization is expected to spread globally down the road”.
seriesOne has ambitions in the Asian market and has established a presence in South Korea with a view to issue security tokens.
The fintech startup is also seeking to have its shares trade on the US bourse for unlisted companies before the end of 2018 and is pushing for a listing on the Nasdaq market in the second-half of 2019.
Bithumb made the news earlier last month when a famous South Korean plastic surgeon and early crypto investor, Dr Kim Byung Gun, emerged as the largest shareholder in the exchange with a 38% plus one share stake which was acquired for US$352.5mil.
The deal valued the exchange at US$880mil. Following the acquisition, BTC Korea Holdings held 38% stake in Bithumb, with Kosdaq-listed Vidente and Omnitel respectively holding 10.55% and 8.44% stakes.