Catenaa, Sunday, January 18, 2026- South Korea’s Digital Asset Exchange Alliance (DAXA) has strongly opposed the government’s plan to limit major shareholder stakes in domestic crypto exchanges, warning it could hinder industry growth and reduce global competitiveness.
The self-regulatory organization, representing five leading exchanges, Upbit, Bithumb, Korbit, Coinone, and Gopax , argued that capping ownership at 15% to 20% could destabilize established companies and undermine accountability for user asset custody.
DAXA stressed that major shareholders hold ultimate responsibility for managing client funds, and dispersing ownership might dilute this oversight.
The Financial Services Commission proposed the cap as part of governance reforms under the upcoming Digital Asset Basic Act, South Korea’s second comprehensive regulatory framework for digital assets.
The law is expected to be finalized in the first quarter of 2026 and will formalize rules for initiatives launched in 2025, including Korean won-pegged stablecoins and spot crypto ETFs.
DAXA warned that ownership limits could discourage investment, reduce entrepreneurial activity, and prompt users to shift to overseas platforms.
The organization emphasized alignment with global standards, stating that regulations must protect property rights and maintain market economy principles.
The proposal comes amid major ownership changes in the domestic crypto sector.
Upbit confirmed a merger with Naver Financial last November, while Mirae Asset Group is reportedly negotiating to acquire Korbit. DAXA urged policymakers to reconsider rules that could disrupt the emerging market during a critical growth phase.
South Korean crypto exchanges oppose government plans to cap major shareholder stakes, citing risks to investment, accountability, and global competitiveness.
