South Korea’s Financial Services Commission said on September 4 that it will begin a three-phase securities-tokenization regime on February 4, 2027, when amended electronic-registration legislation takes effect. The roadmap covers stocks, bonds, funds and fractional-investment securities, though its broadest ambitions will be introduced in stages rather than at launch.

FSC sets February 4, 2027 legal start for securities tokenization

The FSC announced that the amended legal framework will provide the starting point for its tokenized-securities plan. The regulator has set out three phases for the rollout.

The announcement gives the programme a defined legal commencement date, but that does not mean every type of security will be tokenized from February 2027.

First phase targets selected funds, bonds and shares

The initial stage will prioritise privately pooled money-market funds, institution-only bonds, unlisted stocks issued through a trust structure and publicly offered fractional-investment securities, according to the FSC.

For unlisted shares, the early model involves tokenized trust-beneficiary securities. The Block reported that this structure is part of the planned three-stage approach beginning in 2027.

Universal coverage and stablecoin settlement remain later-stage goals

The FSC intends in its second phase to expand tokenization to all publicly offered securities, a step underpinning the roadmap’s wider coverage across securities types. Its final phase would pursue on-chain payments infrastructure linked to stablecoins. The FSC has not fixed implementation timing for either phase, leaving expansion beyond the initial February 2027 rollout subject to a flexible schedule.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

Source: Crypto Daily