Karla Barker 
South Korea’s financial regulators on Friday outlined a policy plan for tokenized securities and stablecoin settlement. The Financial Services Commission and Financial Supervisory Service said the plan would eventually cover traditional assets like stocks, bonds and funds, and expand security token offerings beyond fractional investment products. The date attached to the first phase is February 2027.
A phased rollout begins in 2027
The first phase is tied to the Electronic Registration Act. It would cover money market funds, bonds aimed at institutional investors, unlisted stocks held through trust structures, and publicly offered fractional investment securities. Phase two would open tokenization to all publicly offered securities. Phase three would build onchain payment infrastructure linked to stablecoins.
The later stages do not have fixed dates yet. Officials said the schedule depends on how phase one goes, how quickly market participants adopt the technology, and whether stablecoin legislation moves forward.
FSC Vice Chairman Kwon Dae-young said the authorities want to lay the groundwork for tokenized issuance and circulation of more traditional securities. He described the broader goal as upgrading capital market infrastructure for digital connectivity. That is a heavy job. South Korea has a very active retail investor base, with 11.3 million verified crypto users and daily stock trading volumes that can come close to crypto exchange numbers.
Asia’s role in the shift
The region is becoming harder to ignore in crypto. An OECD report found Asia had the highest growth rate among all regions and around 30% of global stablecoin trading activity in 2025.
Japan announced plans last week for a national blockchain settlement system for stocks and government bonds, with an early 2030s target. Singapore finalized its stablecoin licensing framework this week. South Korea’s plan fits into a broader regional push.
Limits and licensing rules
The regulator also set some guardrails. Individual subscriptions are capped at the lower of 30 million won, about $22,000, or 5% of total issuance volume. On OTC exchanges, annual net purchases are limited to roughly $74,000. That leaves room for retail participation, but it does not throw the market wide open.
Existing licensed financial firms can handle tokenized securities under their current licenses. Issuers that manage their own securities accounts must hold at least $3 million in equity capital and meet certain IT and cybersecurity standards.
The full picture is still a few years away. There are legal, technical and adoption questions that could shift the timeline. Still, the February 2027 target is now public, and it gives market participants something concrete to prepare for.