Securitize stock rises as South Korea prepares for tokenized securities framework
Securitize, a tokenization platform, saw its stock price jump nearly 8% on Tuesday following the announcement of a strategic partnership with South Korean technology company LG CNS. The collaboration aims to develop tokenized assets and digital infrastructure for financial institutions in South Korea, as the country prepares to introduce a new framework for tokenized securities. The framework, proposed by South Korea's Financial Services Commission, is set to take effect in February 2027 and will govern the issuance and circulation of tokenized stocks, bonds, funds, and other securities.
The partnership positions Securitize to gain an early foothold in South Korea's evolving financial landscape. LG CNS also launched a blockchain infrastructure platform on the same day, designed to support stablecoins and tokenized securities for banks and other financial companies. The agreement explores opportunities across the broader Asia-Pacific market, focusing on tokenized funds, stocks, and stablecoins.
Securitize has become a significant player in the tokenized real-world asset market, which is valued at approximately $40 billion. While early growth was driven by assets like US Treasurys and private credit, tokenized stocks are gaining traction. The market for tokenized equities recently hit a record high of $3.2 billion, marking a 10.6% increase over the past 30 days, according to data from RWA.xyz.
Carlos Domingo, CEO of Securitize, has suggested that even modest adoption of tokenized stocks could significantly impact crypto markets. Speaking at ETHConf in July, Domingo argued that tokenized stocks could help push the overall crypto market to a $5 trillion valuation.