South Korea Advances Legal Framework for Tokenized Securities
South Korea's National Assembly has passed pivotal amendments to the Capital Markets Act and Electronic Securities Act, establishing a regulatory foundation for security token offerings (STOs). The revisions classify tokenized securities—spanning debt and equity products—as legitimate financial instruments, enabling their issuance via distributed ledger technology (DLT).
Previously restricted under the Capital Markets Act, tokenized securities can now be traded through licensed intermediaries. The government anticipates these changes will broaden investment accessibility and improve transparency. The MOVE aligns with Seoul's broader push to formalize crypto regulations while fostering innovation in digital assets.