The CEO of Binance, known as the largest cryptocurrency exchange globally, recently traveled secretly to South Korea. This visit is seen as an effort to directly engage with South Korea's financial authorities to address the current issues surrounding Binance's entry into the South Korean market.

In late 2022, Binance acquired Gopax with the intention of entering the South Korean market. However, progress has been hindered as the fiscal authorities have yet to approve the change to Gopax's virtual asset operating license for over a year.

News reports indicate that Teng arrived in South Korea with an unknown agenda, aiming to meet with officials from the Financial Intelligence Unit (FIU) and establish communication with financial authorities.

Binance's decision to acquire Gopax was strategic, but complications arose when Gopax's crypto custody service, Gopay, failed to refund users' money following the FTX crisis. Binance assumed liability for Gopay's debts after becoming the majority shareholder.

Due to Binance's legal issues, particularly a $4.3 billion fine from the US Department of Justice last year, financial regulators hesitated to approve GoPax's changes. In response, Binance declared its intention to sell part of its stake in Gopax and become the majority shareholder.

During the visit, CEO Richard Teng will address management improvements and strategies to rescue Gopax. Observers note that Teng's background at the Monetary Authority of Singapore (MAS) emphasizes compliance, hence his direct engagement with South Korea's financial authorities.

Additionally, Binance recently hired a government affairs representative from the South Korean Financial Supervisory Service to enhance Gopax's management.

Please note that this information is not investment advice.