South Korea Unveils Three-Phase Plan for Tokenized Securities Framework
South Korea's Financial Services Commission (FSC) has unveiled a three-phase plan to establish the legal and technical framework for issuing tokenized securities. The initiative aims to clarify how onchain securities can fit within the country's existing capital markets framework.
The FSC plans to recognize tokenized securities legally from February 4, 2027, via amendments to the Act on Electronic Registration of Stocks and Bonds. Phase one will cover legal recognition for tokenized versions of selected instruments, including certain funds and bonds, unlisted stocks, and fractional investment securities.
Phase two would broaden tokenization to apply to all publicly offered securities. The FSC also indicated it aims to enable onchain payments connected to stablecoins in the final phase.
The commission will collaborate with the Korea Securities Depository (KSD) to develop the necessary tokenization infrastructure before launching the roadmap. This effort reflects South Korean regulators' move toward a defined regime for tokenized assets, which has been steadily gaining momentum.