South Korea introduces tokenized securities roadmap
South Korea’s Financial Services Commission (FSC) has introduced a three-phase roadmap for the issuance of tokenized assets. The country is preparing to adopt its first tokenized securities framework in February 2027. This framework will provide legal recognition for digitized forms of traditional financial assets like stocks, bonds, and funds.
Key milestones and phases
- Phase One: Starting February 4, 2027, tokenized securities will gain legal recognition. This initial phase will cover institutional money market funds, bonds, unlisted stocks, and fractional investment securities.
- Phase Two: The plan is to expand tokenization to include all publicly offered securities.
- Phase Three: The final phase aims to introduce onchain payments linked to stablecoins, which are digital currencies pegged to the value of real-world assets like the US dollar.
Official source details
According to an FSC press release, the legal basis for this change comes from an update to the Act on Electronic Registration of Stocks and Bonds. This is part of a broader implementation of the amended Capital Markets Act and Electronic Securities Act, which together form the country's first comprehensive tokenized securities framework.
Before the roadmap begins, the FSC plans to work with the Korea Securities Depository (KSD) to develop the necessary tokenization infrastructure. The regulator also intends to propose revisions to relevant subordinate regulations by the end of September 2026 and will decide on the timeline for the second and third phases shortly after.
Context and confirmed information
This announcement confirms that South Korea is moving closer to a formal regulatory framework for tokenized assets. In May 2026, the FSC stated it would release detailed rules to bring tokenized securities under the country’s capital markets framework in 2027. Additionally, in April 2026, South Korea’s Ministry of Economy and Finance announced a pilot project using tokenized deposits for government operational spending, with a full rollout scheduled for the fourth quarter of 2026.
Why this matters
By establishing a clear, phased roadmap, South Korea is aiming to integrate traditional financial assets into the blockchain ecosystem. This provides a regulated environment for institutions to issue and trade digitized securities, potentially increasing liquidity and efficiency in capital markets while ensuring investor protection through legal recognition.
