South Korea Announces Securities Tokenization Timeline: First Batch of Tokenized Assets to Include Bonds, Funds, and Unlisted Stocks
South Korea's Financial Services Commission (FSC) has unveiled a three-phase roadmap for tokenizing securities, positioning itself as a potential first-mover with dedicated legislation. Following the formal enactment of amended laws in February 2027, Phase 1 will begin with tokenized private market assets, including bonds, institutional money market funds, and unlisted stocks (via trust beneficiary certificates). Existing licensed securities firms can operate without new permits, with specific rules for non-financial platform operators and investor limits.
Phase 2 will expand to publicly issued securities, contingent on the stability of initial systems and market readiness. The final Phase 3 aims to enable on-chain settlement using stablecoins, pending separate stablecoin legislation.
The announcement contrasts sharply with rapid, decentralized approaches like Robinhood's recent tokenization of stocks, which sparked controversy. South Korea's path prioritizes legal clarity and infrastructure, starting with controlled, institutional markets before broadening access. While this methodical approach may sacrifice speed, it seeks to establish a clear regulatory foundation. The global race for tokenization is highlighting divergent strategies between regulated, incremental models and faster, more open but less certain alternatives.
marsbitIeri 02:11