South Korea unveils three-phase roadmap for tokenized securities launching in 2027

Sep 4, 2026

South Korea has unveiled a three-phase roadmap to transition traditional assets like stocks, bonds, and funds onto tokenized infrastructure starting February 4, 2027. Led by the Financial Services Commission, the plan begins with institutional products before expanding to all publicly offered securities and culminating in stablecoin-based onchain settlement. The framework introduces strict retail investment limits and capital requirements for self-managing issuers, positioning South Korea alongside regional peers like Japan and Singapore in modernizing capital market infrastructure.

South Korea tokenized securities roadmap

▪The Korea Securities Depository is working with South Korean regulators to develop the technical infrastructure and screening criteria for distributed ledgers used by securities firms.
▪Samsung SDS won a contract to develop a token securities platform for the Korea Securities Depository, with completion targeted around February 2027.
▪South Korea's Financial Services Commission announced a three-phase roadmap to tokenize traditional securities, including stocks, bonds, and funds, on distributed ledgers.
▪The legal framework for South Korea's tokenized securities market will take effect on February 4, 2027, when amendments to the Electronic Registration Act and Capital Markets Act become active.

Three-phase implementation timeline

▪South Korea's Financial Services Commission plans to publish proposed revisions to subordinate regulations under the Capital Markets Act and Electronic Registration Act by the end of September 2026.
▪The second phase of South Korea's roadmap will expand tokenization to all publicly offered securities, with its start date dependent on first-phase results and technological adoption.
▪The third phase of South Korea's roadmap will introduce onchain payment infrastructure linked to stablecoins, bringing the cash side of securities transactions onto digital rails.
▪The first phase of South Korea's roadmap, starting February 4, 2027, will tokenize institutional money market funds, bonds, unlisted stocks through trust structures, and fractional investment securities.

Financial firm licensing requirements

▪South Korean issuers approved under a new 'issuer account management entity' structure can manage securities accounts directly if they maintain at least 4 billion won in equity capital.
▪South Korean intermediaries handling tokenized securities on over-the-counter markets will require prior consultation with the Financial Supervisory Service.
▪Existing licensed financial investment companies in South Korea will be permitted to handle tokenized securities under their current licenses without requiring separate authorization.

Retail investor participation limits

▪South Korean retail subscriptions for non-monetary trust beneficiary certificates will be capped at the lower of 30 million won or 5% of the total issuance volume.
▪Retail investors in South Korea will face an annual net purchase limit of 100 million won on each over-the-counter exchange handling tokenized securities.

Stablecoin settlement infrastructure

▪The Bank of Korea has studied using tokenized bank deposits as settlement money for tokenized bonds and shares under a separate deposit-token trial involving nine banks.
▪Shinhan Asset Management signed an agreement to run a proof-of-concept trial testing a Korean won-denominated tokenized fund on the Solana blockchain.
▪The timing of South Korea's third-phase stablecoin settlement layer remains dependent on pending stablecoin legislation under the separate Digital Asset Framework Act.

Asia regional tokenization developments

▪Singapore finalized its stablecoin licensing framework in September 2026, amid growing digital asset activity where Asia accounted for 30% of global stablecoin trading in 2025.
▪Japan is planning a national blockchain settlement system for stocks and government bonds, targeting initial development in early 2027 and potential operations in the 2030s.

Debatable claims

▪South Korea's retail investment limits on tokenized securities are overly restrictive
▪Traditional financial institutions should use public blockchains to tokenize securities
▪Integrating stablecoins into traditional securities settlement poses unacceptable systemic risks