Last updated on May 18th, 2026 at 12:52 am
South Korea’s financial regulator is moving closer to bringing tokenized securities into the country’s regulated financial system, with new rules expected to be released in July ahead of a full framework launch in 2027.
The Financial Services Commission (FSC) said the upcoming measures will outline how blockchain-based versions of stocks, bonds and money market funds can be issued and traded under existing capital market laws. The announcement was made during the second meeting of the FSC’s public-private tokenized securities council, which was formed in March to prepare the market for the transition.
FSC Vice Chairman Kwon Dae-young said the July package will serve as the foundation for the “institutionalization” of tokenized securities in South Korea.
FSC prepares roadmap for tokenized assets
The July guidelines are expected to include rules covering the issuance, distribution and settlement of tokenized securities, alongside possible changes to over-the-counter trading limits.
Regulators are also reviewing whether certain fractional investment products should be allowed to group similar underlying assets together, a move that could expand access to tokenized investment products for retail users.
The FSC is preparing the market ahead of the amended Capital Markets Act and Electronic Securities Act, which are scheduled to take full effect on February 4, 2027. Once implemented, the laws will officially recognize blockchain-based ledgers as valid securities registries.
That shift would move tokenized securities out of their current pilot and experimental stage into a fully regulated environment supervised by the FSC.
South Korea deepens blockchain finance push
The latest move adds to South Korea’s broader push toward blockchain-based finance.
Earlier this year, newly appointed Bank of Korea Governor Hyun-Song Shin publicly backed tokenized deposits during his first official address, signaling growing support for digital financial infrastructure at the central bank level.
In April, the Ministry of Economy and Finance also announced a pilot program that will use tokenized deposits for government operational spending. The project is expected to launch fully in the fourth quarter of 2026.
Crypto industry watches regulatory direction
South Korea’s approach is being closely watched across the digital asset sector as regulators attempt to balance blockchain innovation with investor protection.
The FSC first introduced plans to amend the country’s securities laws in January 2026, giving financial firms and lawmakers a one-year preparation period before the framework takes effect.
The upcoming July announcement is expected to provide the clearest picture yet of how traditional securities markets and blockchain infrastructure could operate together under South Korean law.
Enjoyed this? Bookmark DeFi Planet, explore related topics, and follow us on Twitter, LinkedIn, Facebook, Instagram, Threads and CoinMarketCap Community for seamless access to high-quality industry insights
Take control of your crypto portfolio with DEFI PLANET PRO, DeFi Planet’s suite of analytics tools
