Bithumb switches banking partner from NongHyup to Kookmin Bank in March to enhance user experience and expand market share.
Bithumb, the second-largest cryptocurrency exchange in Korea, made an important announcement on Monday. In March, it will switch its real name depost and withdrawal service bilaterall partner from NH Nonghyup Bank to KB Kookmin Bank. Bithumb’s decision comes as the company attempts to expand its market share and improve its services, the spokesman said.
Recently, Korea’s Financial Services Commission approved Bithumb’s application to designate a new partner bank under its Financial Intelligence Unit (FIU). Making this change is because the partnership between the exchange and NongHyup Bank will come to an end on March 23. As a result, the exchange did not want to experience any disruptions for its services.
Investors wishing to trade on Bithumb will have to open accounts in Kookmin Bank from 11 a.m. local time on March 24, and connect the accounts to the exchange. To trade virtual assets in Korean won in Korea, users must open a real-name deposit and withdraw account in a partner bank. The introduction of Kookmin Bank account linking will be smoother as Bithumb said preregistration will begin at 9 a.m. on January 20. Soon, the exchange will give further details and instructions.
Bithumb Shifts to Kookmin Bank in Effort to Enhance User Experience
Since 2018, Bithumb has been dealing with NongHyup Bank. But last year the exchange started searching for a new partner bank to better serve its users. Bithumb partners with a bank, Kookmin Bank, in order to attract younger customers and expand its market share even more. One reason for this change is that financial authorities are beginning to relax rules allowing corporate accounts. Kookmin Bank will help Bithumb grow and compete against Upbit, Korea’s largest exchange, Bithumb said.
Right now, Bithumb is second only to Upbit. But the exchange is working on strategies to close the gap. But we also plan to work more aggressively in the market, as well as build a corporate sales team. NongHyup Bank has expressed its appreciation for the long partnership with the company. Bithumb assured users that the exchange has taken all necessary steps to ensure stable service during the transition.
Apart from the change in banking partner, Bithumb announced that it will be listed on the US Nasdaq in 2025. The move represents a strategic move as the company aims to widen its presence globally. Perhaps the most important move yet is that of Bithumb, the decision of the Korean cryptocurrency exchange to sever ties with its dated bank partnership and adopt a new one. At the same time, these efforts are set to enhance Bithumb’s future growth.
