Key Takeaways
- • Koscom has signed a memorandum of understanding (MOU) with Daol Investment & Securities to jointly develop blockchain-based infrastructure for South Korea's tokenized securities (STO) market, scheduled to launch in 2027.
- • The partnership will encompass blockchain platform development, distributed ledger technology integration with brokerage systems, underlying asset holder identification, and new business model creation for the emerging STO market.
- • Daol Investment & Securities has established a dedicated Platform Strategy Division and recruited digital asset specialists, positioning itself as an early participant in the KDX consortium led by Korea Exchange and Koscom.
- • Koscom CEO Yoon Chang-hyun stated the partnership aims to reduce infrastructure burden for participating firms, enabling them to focus on business model innovation and service competitiveness rather than technology development.
- • The expansion reflects a broader consolidation of South Korea's tokenized securities ecosystem, with multiple securities firms and financial entities joining Koscom's STO joint platform consortium.
Summary
Koscom, the Korea Exchange's capital markets IT subsidiary, has formalized a strategic partnership with Daol Investment & Securities to build foundational infrastructure for South Korea's tokenized securities market ahead of its anticipated 2027 launch. Under the MOU signed in May 2026, the two firms will collaborate on developing blockchain-based issuance and distribution systems designed to reduce technical barriers for participating securities companies.
The scope of cooperation spans multiple operational domains: blockchain platform architecture and technology development, integration of distributed ledger technology (DLT) with existing brokerage firm systems, identification mechanisms for underlying asset holders, and exploration of novel business models suited to the STO market structure. Daol Investment & Securities has already begun preparing for this market transition by establishing a Platform Strategy Division in the prior year and recruiting specialists focused on digital assets and tokenized instruments.
Koscom CEO Yoon Chang-hyun emphasized that the partnership addresses a critical infrastructure gap, stating: "We will actively support the overall issuance, distribution, and settlement of tokenized securities so that participating firms can reduce their infrastructure burden and focus on discovering business models and strengthening service competitiveness." This approach positions Koscom as a market facilitator rather than a direct competitor, allowing securities firms to concentrate on customer acquisition and product innovation.
Daol Investment & Securities CEO Hwang Jun-ho framed the partnership as essential to market readiness, noting the company aims to "build solid STO infrastructure and provide customers with a highly reliable digital asset investment experience." The firm is simultaneously participating in the broader KDX consortium being developed by Korea Exchange and Koscom, suggesting a multi-layered approach to tokenized securities market development.
The partnership reflects the maturation of South Korea's regulatory environment for digital asset infrastructure, with multiple financial institutions now joining Koscom's STO joint platform consortium as the market approaches commercial deployment.
The scope of cooperation spans multiple operational domains: blockchain platform architecture and technology development, integration of distributed ledger technology (DLT) with existing brokerage firm systems, identification mechanisms for underlying asset holders, and exploration of novel business models suited to the STO market structure. Daol Investment & Securities has already begun preparing for this market transition by establishing a Platform Strategy Division in the prior year and recruiting specialists focused on digital assets and tokenized instruments.
Koscom CEO Yoon Chang-hyun emphasized that the partnership addresses a critical infrastructure gap, stating: "We will actively support the overall issuance, distribution, and settlement of tokenized securities so that participating firms can reduce their infrastructure burden and focus on discovering business models and strengthening service competitiveness." This approach positions Koscom as a market facilitator rather than a direct competitor, allowing securities firms to concentrate on customer acquisition and product innovation.
Daol Investment & Securities CEO Hwang Jun-ho framed the partnership as essential to market readiness, noting the company aims to "build solid STO infrastructure and provide customers with a highly reliable digital asset investment experience." The firm is simultaneously participating in the broader KDX consortium being developed by Korea Exchange and Koscom, suggesting a multi-layered approach to tokenized securities market development.
The partnership reflects the maturation of South Korea's regulatory environment for digital asset infrastructure, with multiple financial institutions now joining Koscom's STO joint platform consortium as the market approaches commercial deployment.
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