This article was displayed on the ChosunBiz MoneyMove (MM) site at 3:56 p.m. on Jan. 28, 2026.
A conflict has erupted among insiders at CANVAS N, a KOSDAQ-listed company seeking to sell its management control, over who is responsible for failing to lift the stock price. They had expected CANVAS N to be included among stocks themed to Lee Jae-myung, but after the presidential election ended, the market quieted faster than expected and they failed to achieve the desired results.
This group had earlier failed to push up the stock price at CNH as well, and after two straight flops, they have entered a legal battle. They hope to recoup some funds through the sale of management control, but even that is not going smoothly.
According to the capital market industry on the 28th, a legal battle is underway among CANVAS N insiders. Earlier, some of them caused a disturbance at an affiliate office of CANVAS N in Gangnam, Seoul, demanding their money back, prompting police to respond.
Most of the investors, led by CANVAS N Chairman Kim Young-jin, who is known to effectively control CANVAS N, are figures who were active when CNH was delisted. Kim was also suspected of providing funds in the Well Biotec case, in which First Lady Kim Keon-hee was investigated by a special prosecutor.
Also, CANVAS N Executive Vice President Kim Sang-jin led the deal while using a business card listing him as a vice president of Blue Moon Holdings, which had attempted to acquire CNH. In addition, as financial investors (FI), the group is said to include figures well known in the capital market industry, such as Hong Seok-jong, who is on the run in France, and Lee Jun-min, who was recently sought by prosecutors to receive a 15-year prison sentence.
A person surnamed Lee, known as a stock price manipulation operator, also filed a lawsuit against a person surnamed Lim, who raised acquisition funds for CANVAS N. Lee said that after investing 150 million won and agreeing to receive shares for the acquisition through an association, the promise was not kept. However, as indications emerged that the funds flowed into another account, the case was closed with a no-charge decision.
A market broker, a person surnamed Yoo, also lent funds to purchase CANVAS N shares, but filed for provisional seizure, saying the money has not been repaid. The third-party obligor subject to the provisional seizure is Nano Chem Tech, which controls CANVAS N.
During the presidential election last year, they tried to boost the stock price by transforming CANVAS N into a security token offerings (STOs) and election-themed stock, but it ultimately failed. CANVAS N declared an entry into the STO market while heavily promoting that Executive Vice President Kim Sang-jin had joined President Lee Jae-myung's presidential campaign. The plan was to tokenize K-content and carbon emission credits and push the business once related legislation was established. CANVAS N shares hovered in the 2,000-won range in early April last year, before the presidential race began, but as expectations for the STO theme grew, they hit an intraday high of 7,600 won after mid-April.
However, after the presidential election ended and the STO theme lost steam, the stock quickly returned to previous levels. It hit the lower limit for two consecutive days on July 29-30 last year, and again on Nov. 18, dropping into the 1,000-won range. During this process, a large portion of FI stakes were force-sold in margin calls. CANVAS N shares are currently stuck around the 2,000-won level, similar to before the election.
The sale of management control, being pursued to recover funds, has also been delayed multiple times. In July last year, CANVAS N selected the head of a KOSDAQ-listed company, identified as G, as the buyer and pushed ahead with the sale, but as the final payment was delayed, the preferred bidder changed to Wonjeong Infra Holdings. Wonjeong Infra Holdings was expected to succeed in acquiring management control after making several interim payments, but ultimately failed to raise the funds. Of the 15 billion won acquisition price, it paid about 9 billion won but could not cover the remaining balance.
Currently, Kim Dae-sik, former Bithumb CEO and the exchange's founder, has been named as a potential buyer. After acquiring CANVAS N, Kim is expected to front AI and stablecoin businesses.
However, as seen in the multiple changes of the buyer, there are questions about whether Kim can see the deal through. A capital market industry official said, "Even if Kim acquires CANVAS N, there is a high possibility that the group will be hit by a barrage of lawsuits from creditors over the funds borrowed to raise the acquisition money."
Previously, the group also suffered setbacks at CNH. In the process of acquiring CNH, a faulty contract led to a management control dispute, and as a result, the company was delisted.