Kakao Pay Securities has signed separate memorandums of understanding with Ondo Finance and Dinari to explore the tokenization of South Korean listed stocks for overseas investors, according to Odaily. The plan under review would have Kakao Pay Securities purchase and hold the underlying shares through an omnibus account designed for foreign investors, then issue tokens backed by those holdings for distribution outside South Korea. The three parties aim to form a joint working group within this year to examine key parts of the structure, including stock sourcing and custody, token issuance and redemption, reconciliation between shares and tokens, and how shareholder rights such as dividends and voting could be reflected. Kakao Pay Securities will also study the use of Ondo Finance’s global distribution network and run a proof of concept with Dinari to verify technical feasibility. A commercialization plan and launch timeline have not been set.
Kakao Pay Securities has signed separate memorandums of understanding with Ondo Finance and Dinari to explore tokenizing South Korean listed stocks, a move aimed at widening access for overseas investors, according to Odaily.
Under the proposed structure, Kakao Pay Securities would purchase and hold the underlying shares through an omnibus account for foreign investors, then issue tokens based on those holdings for overseas distribution.
Joint working group planned this year
The three parties plan to set up a joint working group within this year to study stock sourcing and custody, token issuance and redemption, reconciliation between shares and tokens, and ways to reflect shareholder rights including dividends and voting.
Kakao Pay Securities will work with Ondo Finance on how to use its global distribution network, and with Dinari on a proof of concept to confirm technical feasibility.
A commercialization plan and timeline have not been determined.
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