- BISSUMM sold over 38 percent of its stake for 400 billion won ($350 million USD)
- BTC Korea Holdings will relinquish 50 percent + 1 shares to BK Global Consortium
- Kim will establish a decentralized exchange later this month
Ownership of South Korea’s largest cryptocurrency exchange Bithumb has changed hands. BISSUMM, the largest shareholder, has part of its stake to Singapore-based blockchain Consortium. The sales agreement was signed on Thursday, October 11th, with a blockchain investment firm belonging to BT Global Consortium-a plastic surgery medical group based in Singapore. BISSUMM sold over 38 percent of its stake for 400 billion won which is approximately $350 million USD.
Majority changing hands
According to the terms of the deal, BTC Korea Holdings, which owns 76 percent of Bithumb’s ownership, will relinquish 50 percent + 1 of its 76 percent shareholding to BK Global Consortium. The report states that at the time of the acquisition Bithumb was valued at 1 trillion won which is roughly $880 million. This means that Kim Byung Gun, a plastic surgeon who is the chairman of the BK consortium, becomes the largest shareholder in Bithumb. A person representing the consortium was quoted saying:
“Kim Byung Gun has demonstrated his multinational management ability in the field of medical care, Fintech, and blockchain in Singapore. He is the right person to pursue the systemization and globalization of the virtual currency exchange.”
Local news outlet TheNews.Asia added that following the acquisitions, BK Global Consortium will work towards maximizing the exchange’s potential by leveraging its blockchain e-commerce settlement system and Stablecoin operation.
Kim has announced that he plans to establish a decentralized exchange, “Bithumb Dex,” via his Hong Kong subsidiary later this month. The new decentralized exchange will enable users across the world to send and receive digital currencies without hassle. The report reveals that Kim is a pioneer cryptocurrency investor who founded an Initial Coin Offering consultancy firm in Singapore last August.
The news of the acquisition comes only a few months following a revelation by some of Bithumb’s shareholders of the cryptocurrency exchange’s financial figures that showed net profits of over $35 million in the first half of 2018, despite the $40 million loss following a hacking incident in June this year.
While Bithumb already provides real-life settlement services, BK Global consortium believes that by cooperating with global companies in Singapore the exchange will have a greater impact. An official of the consortium stated:
“The e-commerce companies such as Amazon and Alibaba are receiving a 10% commission fee […] we will also promote the introduction of Stable Coin to stabilize the payment system will be in conjunction with the global exchange scheme to take advantage of the coin, linked to the US dollar in the previous review.”