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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

South Korea Announces Securities Tokenization Timeline: First Batch of Tokenized Assets to Include Bonds, Funds, and Unlisted Stocks

marsbitIeri 02:11

Dallas Fed Economists Warn of Risks from Tokenized Deposits

Economists from the Federal Reserve Bank of Dallas have warned about the potential risks of widespread adoption of tokenized deposits. They argue that while enabling real-time settlements, tokenization could destabilize bank funding models. The ease of instant transfers between institutions may reduce deposit stability, making it harder for banks to forecast balances and forcing them to hold more high-quality liquid assets. This shift could limit banks' capacity for long-term lending and increase borrowing costs. Using a model, the economists estimate that a 10% decrease in the average maturity of bank deposits could reduce the banking system's ability to hold interest rate risk by approximately $580 billion (in 10-year asset equivalents). A 10% increase in the sensitivity of deposit rates to market rates could have an even larger impact of around $700 billion. They cite Brazil's Pix instant payment system as an analogous case where increased usage correlated with banks holding more liquid assets and reducing credit intermediation. The analysis comes as major banks accelerate tokenization projects, such as the formation of the BankChain alliance and infrastructure initiatives by JPMorgan, Citigroup, and others. The authors conclude that while the sector is nascent, the architecture and rules of future tokenized deposit systems will be crucial in determining their ultimate impact on financial stability.

cryptonews.ru08/26 15:46

Dallas Fed Economists Warn of Risks from Tokenized Deposits

cryptonews.ru08/26 15:46

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