South Korea Unveils Phased Roadmap for Tokenizing Securities
- New rules for tokenized securities will take effect on Feb. 4, 2027.
- The phased plan includes a three-stage tokenization approach starting with private funds and bonds.
- Retail investors can purchase up to ₩100 million (approximately $74,000) of tokenized securities annually on OTC venues.
- Companies managing tokenized securities must have at least ₩4 billion ($2.97 million) in capital and relevant expertise.
- Avalanche’s blockchain infrastructure will support the initiative, aiming to create a digital capital market.
The roadmap outlines a strategic approach to integrate traditional financial products into a digital format, enhancing the issuance and trading of stocks, bonds, and funds on-chain.
This initiative marks a significant step towards modernizing South Korea’s capital markets, with the first phase focusing on institutional investors before expanding to broader public offerings by February (Source).
