Naver Financial, the payments arm of South Korean tech conglomerate Naver, has announced an all-stock agreement to acquire Dunamu, the company behind the country’s biggest cryptocurrency exchange, Upbit. The deal is valued at $10.27 billion, according to a regulatory filing released on Wednesday, marking one of Asia’s largest transactions this year.

The company said the acquisition is designed to secure long-term growth opportunities in digital assets. As part of the agreement, Naver Financial plans to issue 2.54 of its shares for each Dunamu share.

South Korea remains one of the most active cryptocurrency markets globally, and analysts say the move could give Naver wider access to emerging digital financial products, including stablecoins, while strengthening its position in fintech beyond its core advertising, e-commerce and content businesses.

“Upbit is the largest crypto exchange in South Korea with about 70% market share according to some reports and is hugely profitable,” said Siya Yang, head of marketing at Hong Kong-based digital assets services firm HashKey Group. “Naver can see synergy in the business as it can divert its own user traffic toward the exchange who provides financial products to mostly the younger generation,” Yang added.

Following speculation that the deal could pave the way for a future Nasdaq listing, Naver CEO Choi Soo-yeon said on Thursday that the company had “no specific plans”, noting that any future decision would prioritise shareholder value.

Shares in Naver initially surged more than 7% after the deal was announced but later reversed course, trading down 4.2% as of 0507 GMT on Thursday.

Analysts linked the decline to reports of an “abnormal withdrawal” worth 54 billion won in cryptocurrencies from Upbit earlier in the day. Upbit issued an apology and confirmed it would cover the full amount using its own assets.