South Korea's National Assembly is on the verge of passing a significant draft law to legalize security token offerings (STOs), potentially enabling the issuance of tokenised stocks and Bitcoin ETFs. The legislation, which has garnered support from both ruling and opposition parties, is anticipated to be approved by the end of 2025.
The proposed law will permit qualified issuers to create and manage tokenised securities using blockchain technology, providing a legal framework for trading on over-the-counter exchanges. Additionally, the bill includes measures for tokenising real-world assets, such as real estate and music copyrights, marking a substantial step forward in the integration of blockchain in traditional financial markets.
South Korea Set to Approve Tokenised Stocks Law by Year-End
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