South Korea’s Financial Services Commission (FSC) plans to unveil detailed rules for tokenized securities in July as the country moves toward bringing blockchain-based securities under its capital markets laws by 2027.

The upcoming guidelines are expected to outline how tokenized stocks, bonds and money market funds can be issued and traded. Officials are also considering changes to over-the-counter trading limits and rules that would allow certain fractional investment products to combine similar underlying assets.

The FSC announced the plan Friday during the second meeting of its public-private tokenized securities council, launched in March to prepare rules for issuance, trading, settlement and infrastructure ahead of the new framework’s rollout.

“The goal is to make an announcement in July,” FSC Vice Chairman Kwon Dae-young said, describing the measures as part of the “institutionalization” of tokenized securities.

The July proposal is expected to show how far South Korea is willing to integrate blockchain technology into regulated financial markets while maintaining existing investor protection standards.

The move comes as South Korea accelerates efforts to build a legal framework for digital assets. Earlier this month, newly appointed Bank of Korea Governor Hyun-Song Shin backed the use of tokenized deposits in his first public speech.

On April 16, the Ministry of Economy and Finance also announced a pilot program that will use tokenized deposits for government spending operations, with a broader rollout planned for the fourth quarter of 2026.

The FSC’s latest efforts are tied to amendments to the Capital Markets Act and the Electronic Securities Act, South Korea’s first comprehensive framework for tokenized securities, scheduled to take effect on Feb. 4, 2027.

Once implemented, the framework will legally recognize blockchain ledgers as official securities registries, allowing tokenized assets to move beyond their current experimental phase and into fully regulated markets under FSC oversight.

The FSC first introduced the proposed legal amendments in January 2026, giving regulators and market participants a one-year preparation period before the rules take effect.

Featured image from: Cointelegraph.com