South Korea Advances Token Securities Issuance with Legislative Amendments

According to Foresight News, South Korea is moving forward with the institutionalization of token securities issuance (STO) through amendments to the Electronic Securities Act and the Capital Markets Act. These amendments have been approved by the National Assembly's Political Affairs Committee Bill Review Subcommittee, laying the groundwork for the STO circulation market to open in the first half of next year. The amendments aim to officially incorporate blockchain distributed ledger technology into the electronic registration system, allowing issuers to register and manage token securities based on distributed ledger technology as electronic securities. Additionally, the amendments will bring small-scale over-the-counter trading platforms for investment contract securities and non-monetary trust income securities under regulation, providing a basis for the legal operation of fragmented investment exchanges. If the bill is passed in the National Assembly's plenary session next month, the tokenization and circulation of various physical assets, including real estate, artwork, and music copyrights, will be able to proceed within a regulatory framework.