South Korea plans July rules for tokenized securities

South Korea's FSC is preparing detailed rules for tokenized securities before a legal framework for blockchain-based securities takes effect in February 2027.

South Korea’s Financial Services Commission (FSC) plans to release detailed tokenized securities rules in July as the country prepares to bring blockchain-based securities under its capital markets framework in 2027.

The measures are expected to include a roadmap for tokenizing stocks, bonds and money market funds, possible changes to over-the-counter trading limits and rules allowing some fractional investment products to pool similar underlying assets, the FSC announced on Friday at the second meeting of its public-private tokenized securities council, which was launched in March to design issuance, trading, infrastructure and settlement rules before the framework takes effect in 2027.

“The goal is to make an announcement in July,” said FSC Vice Chairman Kwon Dae-young, adding that the new rules will serve for the “institutionalization” of tokenized securities.

Read more