South Korea Unveils Rules for Blockchain-Based Tokenized Securities

South Korea has proposed detailed rules for moving stocks, bonds and funds onto blockchain networks, with tokenized securities scheduled to launch on February 4, 2027.

According to information shared by Coin Bureau, South Korea’s financial regulator has put forward the framework governing the new market. The proposed rules would establish how tokenized securities can be issued and traded while setting limits for retail participation.

Tokenized Securities Set for 2027 Launch

The framework would initially cover funds, bonds and unlisted stocks. Listed stocks and stablecoin-based settlement are planned for later phases, according to the information cited by Coin Bureau.

The phased approach means the initial rollout would focus on a defined group of securities before expanding to additional asset classes and settlement mechanisms.

Tokenization involves representing ownership or claims on financial assets through blockchain-based records. Under South Korea’s proposed framework, the technology would be applied to regulated securities rather than being treated solely as a cryptocurrency-related activity.

The proposed launch date for tokenized securities is February 4, 2027.

Retail Investors Face Annual Purchase Limit

The proposed rules would also establish an annual investment limit for retail investors.

Individuals would be permitted to purchase up to ₩100 million, or about $70,000, per year on each approved trading platform, according to Coin Bureau.

The limit would apply separately to each approved platform rather than representing a single figure across the entire markets, based on the details provided in the X post.

The proposed framework therefore combines the introduction of blockchain-based securities with specific parameters for retail participation. The rules are part of a broader effort to establish the regulatory structure under which tokenized financial assets can operate.

Hanwha Platform Already Supports Avalanche

South Korean brokerage Hanwha has already developed a tokenized securities platform, according to the information shared by Coin Bureau.

The platform supports Avalanche, a blockchain network that can be used to issue and manage digital assets. Its inclusion in the post provides an example of how blockchain infrastructure is already being incorporated into South Korea’s developing tokenized-securities market.

The first phase of the proposed framework is focused on funds, bonds and unlisted stocks. Listed equities and stablecoin settlement remain designated for subsequent phases, leaving those areas outside the initial February 2027 rollout.

The next major milestone identified in the proposed framework is February 4, 2027, when tokenized securities are scheduled to launch under the new rules.

Writer: Victoria Hale
Technology & Blockchain Writer

Victoria Hale writes about blockchain technology, digital infrastructure, and the intersection of emerging technologies with finance. Her articles explore how new protocols and systems are shaping the evolving digital economy.

She prioritises clarity and accuracy when explaining technical developments to a general audience.