Global exchanges race to tokenize stocks and bonds as South Korea stalls - CHOSUNBIZ

Global financial institutions are accelerating the tokenization of traditional assets like stocks and bonds to enhance liquidity and operational efficiency, yet South Korea remains a laggard due to restrictive regulatory frameworks. While major global players leverage blockchain technology to streamline settlement processes and reduce intermediary costs, South Korean financial authorities maintain a cautious stance that prevents local firms from fully participating in this digital transformation. The disparity between international progress and domestic stagnation threatens to leave South Korean capital markets isolated from the burgeoning global RWA ecosystem. Industry experts warn that without clear legislative guidance, local institutions risk losing competitiveness as global exchanges adopt decentralized finance protocols for asset management. The ongoing debate in South Korea centers on balancing investor protection with the need for technological innovation in capital markets. This divergence highlights a critical juncture where regulatory clarity determines whether a nation becomes a hub for digital asset integration or remains tethered to legacy infrastructure. Ultimately, the global race toward tokenization is reshaping how institutional capital flows, making the South Korean regulatory bottleneck a significant barrier to entry for domestic market participants.