Securitize said it is partnering with South Korean technology company LG CNS to develop tokenized asset and digital asset infrastructure for financial institutions in South Korea. After the news was released and later confirmed by Securitize on X, the company’s shares rose nearly 8% on the New York Stock Exchange to $12.60.
South Korea’s tokenized securities framework is set for February 2027
The partnership lands as South Korea moves ahead with a new regulatory framework for tokenized securities. The country’s Financial Services Commission proposed rules last week covering the tokenized issuance and circulation of stocks, bonds, funds, and other securities, with the framework scheduled to take effect in February 2027.
According to an official notice cited in the report, the rules cover the full process for tokenized stocks, including issuance, trading, and settlement. They would also allow financial institutions to use blockchain technology for 24-hour trading and real-time settlement.
Partnership covers funds, stocks, and stablecoins
Securitize and LG CNS plan to explore tokenized funds, stocks, and stablecoins, while also targeting broader opportunities across the Asia-Pacific region. LG CNS on the same day launched a blockchain infrastructure platform designed to help banks and other financial companies support stablecoins and tokenized securities.
Tokenized equities market continues to expand
The report described Securitize as a major player in the tokenized real-world asset market, which it said has grown to about $40 billion. Data from RWA.xyz put the market capitalization of tokenized stocks at about $3.2 billion, up 10.6% over the past 30 days. While early growth was concentrated in U.S. Treasuries, private credit, and yield-bearing assets, tokenized equities have continued to reach new highs in market size, according to the report.
Securitize CEO Carlos Domingo said at ETHConf in July that even moderate adoption of tokenized stocks could have a major effect on the broader crypto market and could push total crypto market capitalization to $5 trillion.
Securitize expanded after its NYSE listing
Securitize completed its merger with special purpose acquisition company Cantor Equity Partners II in July last year and listed on the New York Stock Exchange under the ticker SECZ. The report said the company started with tokenized U.S. Treasury products and later expanded into a tokenized stock trading marketplace.
The tie-up with LG CNS brings its tokenization infrastructure into one of Asia’s largest crypto markets. Citing Chainalysis, the report said South Korea ranks among the world’s top three crypto consumer markets. LG CNS launching its blockchain infrastructure platform on the same day also points to preparations by South Korean financial institutions ahead of the 2027 rules.
Attention turns to Asia’s tokenization race
The report said Securitize is moving into the market before South Korea’s rules formally take effect, giving it a local partner in place by the time financial institutions begin deploying tokenization systems in February 2027. It also noted that Taiwan’s tokenized securities market remains in the planning stage, while South Korea is moving faster. The report said it will be worth watching whether other Asian markets, including Singapore and Japan, pursue similar partnerships.