FSC: Decision to adopt a public blockchain for tokenized securities should be made with caution
Summary
- South Korea’s Financial Services Commission (FSC) said that, regarding tokenized securities, there are still many issues to consider before adopting a public blockchain.
- Lee Yong-jun, an official at the FSC, said there are not many cases where a fully open public blockchain has been applied to a securities system.
- He added that a structure enabling control and management is needed in areas such as governance, gas-fee policy, and system operations.
Forecast Trend Report by Period
South Korea’s Financial Services Commission (FSC) said that, regarding tokenized securities, there are still many issues that require further consideration before adopting a public blockchain. A public blockchain is an open blockchain network that anyone can join freely. Most blockchain networks familiar to cryptoasset (cryptocurrency) investors—such as Ethereum (ETH) and Solana (SOL)—fall into this category.
Lee Yong-jun, an official at the FSC, made the remarks at the seminar titled 'Structural Changes in Capital Markets and Institutional Challenges After the Legalization of Tokenized Securities,' held on the 26th at the National Assembly building in Seoul, noting that “there are not many cases where a fully open public blockchain has been applied to a securities system.”
He said that governance is a key issue in adopting a public blockchain. “To apply blockchain to a securities system, a structure that allows a certain level of control and management is necessary,” he explained, adding that “there are many factors to consider (in adopting a public blockchain), including gas-fee policy and system operations.”
Uk Jin
wook9629@bloomingbit.ioH3LLO, World! I am Uk Jin.
