According to South Korean media, the administration of the Binance exchange and local cloud services provider Megazone are in the final stages of negotiations on the sale of a controlling stake in the South Korean cryptocurrency platform Gopax.

Binance plans to reduce its stake in Gopax from 72.6% to around 10%. The decision comes amid South Korean authorities’ demands that Binance and Gopax improve their exchange governance structures.

South Korea’s Financial Services Commission (FSC) has ordered Gopax to reorganize its management structure to maintain its status as a Korean won settlement operator and extend its contract with settlement bank Jeonbuk Bank. The deal is expected to be completed by the end of July.

To recap, Binance acquired a majority stake in Gopax in February 2023 as part of its efforts to re-enter the South Korean market after ceasing operations in 2021. However, South Korean regulators have yet to approve the deal or shareholder changes.