Naver-Dunamu Crypto ‘Mega-Company’ Could Be Worth $2.1B a Year – Experts

Core Insights - The proposed merger between Naver and Dunamu could result in a "mega company" with annual profits of $2.1 billion, generating KRW 3 trillion in consolidated operating profits [1][2] Company Overview - Naver is South Korea's largest internet company, and its subsidiary Naver Financial operates various banking and e-payment platforms [2] - The merger aims to combine Naver Financial with Dunamu, which owns the largest crypto trading platform in South Korea, potentially creating Asia's biggest fintech company [3] Market Position and Synergies - The acquisition of Dunamu is expected to allow Naver to fully enter the crypto industry, particularly benefiting from stablecoins that could synergize with Naver's existing advertising, commerce, and fintech businesses [2] - The new firm is anticipated to establish a stablecoin ecosystem centered on Dunamu's exchange business and its GIWA protocol, enhancing its competitive position in both crypto and general payment sectors [3] Future Outlook - A predicted boom in crypto trading activity is expected as the U.S. enters a rate-cut cycle, which may lead to increased trading volumes in Korea [4] - The merger is seen as a way for Naver to explore new growth opportunities, addressing its recent valuation decline due to a lack of new growth engines [4] - Despite regulatory uncertainties, there is a relatively positive atmosphere surrounding the merger [4]