Why is South Korea expanding its token securities plans?

South Korea's Financial Services Commission (FSC) is expanding its token securities plans as part of a broader capital-market modernisation programme. The initiative combines token securities infrastructure with reforms covering faster settlement, longer trading hours and greater use of digital technologies.

What are the key changes in South Korea's capital market overhaul?

South Korea's Financial Services Commission (FSC) plans to shorten securities settlement times by October and introduce a Korea Securities Depository system for unlisted share and fractional investment settlements by the end of 2026. The reforms also include work on token securities infrastructure and market-access improvements.

How is South Korea's token securities framework being developed?

South Korea's Financial Services Commission (FSC) said token securities rules will be developed through a public-private council before being integrated into the wider capital-market review. The regulator is preparing subordinate regulations and operational guidelines ahead of the framework's planned February 2027 launch.

What does the February 2027 timeline mean for South Korea's token securities market?

South Korea's Financial Services Commission (FSC) expects the token securities framework to take effect in February 2027 after supporting regulations and infrastructure are completed. The timeline follows legislative amendments approved in January that recognised blockchain-based distributed ledgers as valid securities registries.

What role does Samsung SDS play in South Korea's token securities project?

Samsung SDS was selected by the Korea Securities Depository to build a token securities management platform linked to existing electronic securities systems. Samsung SDS said the platform is scheduled for completion by February 2027 to support the rollout of South Korea's new token securities framework.

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South Korea links token securities to market overhaul

Written by Isaac FrancisPublished Jun 24, 2026, 11:27 PM

South Korea's Financial Services Commission added token securities infrastructure to a broader capital-market modernisation programme.
The initiative includes faster settlement systems, longer trading hours and greater use of artificial intelligence across financial markets.
Regulators are targeting February 2027 for the launch of the country's token securities framework.

South Korea's Financial Services Commission (FSC) has incorporated token securities infrastructure into a wider capital-market reform programme aimed at improving settlement systems, trading access and digital market operations.

The regulator said it launched a capital market infrastructure review meeting to coordinate reforms across government agencies and market operators, with token securities plans set to be discussed separately through a public-private council before integration into the broader initiative.

“The initiative will build on broader efforts to improve the capital market, guided by four policy priorities: trust, shareholder protection, innovation and market access,” said Financial Services Commission Vice Chairman Kwon Dae-young.

The reform package includes a roadmap to shorten securities settlement cycles by October and a Korea Securities Depository system for settling over-the-counter trades in unlisted shares and fractional investment products by the end of 2026.

The changes form part of South Korea's effort to modernise financial market infrastructure and connect blockchain-based investment products with traditional securities systems, and following the announcement there was no immediate market reaction available.

South Korea's National Assembly approved amendments in January recognising blockchain-based distributed ledgers as valid securities registries and permitting the issuance and circulation of token securities ahead of the framework's planned February 2027 launch.

Technical preparations are also progressing, with Samsung SDS securing a Korea Securities Depository contract to build a token securities management platform linking existing electronic securities systems with blockchain-based records before the framework takes effect.