ChainCatcher news, the amendment to the Electronic Securities Act and the Capital Markets Act, which promotes the institutionalization of Security Token Offering (STO) in South Korea, has passed the Bill Review Subcommittee of the National Assembly's Political Affairs Committee, laying the foundation for the launch of the STO circulation market in the first half of next year.
The amendment plans to officially incorporate blockchain distributed ledger technology into the electronic registration system, allowing issuers to register and manage token securities based on distributed ledgers as electronic securities. At the same time, small-scale over-the-counter trading platforms for investment contract securities and non-monetary trust income securities will be brought under regulation, providing a legal basis for the legitimate operation of fractional investment exchanges. If the bill is finally passed at the plenary session of the National Assembly next month, the tokenization and circulation of various physical assets such as real estate, artworks, and music copyrights can be carried out within a regulatory framework.