Korean Brokerages Push Into Crypto, Tokenized Securities in Race to Become Asset Platforms

Brokerages Push Beyond Stocks

(3-End) Securities firms accelerate shift to comprehensive asset platforms as they expand into digital assets

Mirae Asset buys Korbit, acquires Sharekhan

Korea Investment reviews Coinone stake after Bithumb tie-up

Hanwha Asset Management pushes Solana-based ETP

Brokerages target overseas markets including the US, China and Vietnam

South Korean securities firms are accelerating their push into digital assets, betting the market will become a new growth engine. They see limits to a brokerage-driven earnings model centered on stock trading. As tokenized securities, or STOs, and real-world assets, or RWAs, gain traction as forces that could reshape financial markets, brokerages are moving quickly to turn themselves into comprehensive asset platforms.

Race to buy exchanges and build platforms

Citi said on June 15 that the digital-asset market, including STOs and RWAs, could reach as much as $7 trillion by 2030. If illiquid assets such as real estate, private equity and bonds are split into blockchain-based units and traded, virtually any asset could be bought and sold like a stock.

South Korean brokerages are pursuing exchange acquisitions and global platform development at the same time as they try to secure an early lead. Mirae Asset Securities, through affiliate Mirae Consulting, has secured about a 92% stake in crypto exchange Korbit. The move suggests the firm wants to go beyond a passive investment and extend into exchange operations, giving it broader control over the digital-asset ecosystem. It is also expanding overseas. Mirae Asset Securities has created a dedicated digital-asset unit, DigitalX, under its Hong Kong subsidiary and is preparing an STO business. Industry officials say the push is not just a new business expansion but an attempt to reshape the structure of financial distribution itself.

Korea Investment & Securities is also moving quickly into virtual assets. After signing a business agreement with Bithumb late last year to provide wealth-management services, the firm has recently reviewed acquiring a stake in Coinone. Hanwha Asset Management recently invested 100 billion won ($72 million) in BitMine and is working with overseas companies to launch a Solana-based exchange-traded product, or ETP. Daishin Securities acquired real-estate fractional investment platform Kasa Korea for 15 billion won ($10.8 million) in 2023. Once financial authorities complete rulemaking, businesses tied to virtual-asset exchange-traded funds, tokenized-securities trading platforms and digital-asset custody are set to expand in tandem.

Brokerages look overseas for growth

Abroad, financial investment firms have already moved quickly into digital assets. US investment platform Robinhood has acquired crypto exchange Bitstamp and Canadian exchange WonderFi. JPMorgan runs its tokenization platform Kinexys Digital Assets and has issued its own stablecoin, JPM Coin. Fidelity has established a separate platform through Fidelity Digital Assets. In Japan, Nomura operates institutional digital-asset firm Laser Digital, while Monex Group acquired Coincheck and is expanding a business model that combines securities and virtual assets. In Europe, Singapore and other major financial centers, traditional financial firms are also moving to secure blockchain-based asset distribution networks, rapidly blurring the line between brokerages and exchanges.

South Korean brokerages are also stepping up their overseas push. After acquiring Indian brokerage Sharekhan, Mirae Asset Securities is pursuing mergers and acquisitions involving securities firms and virtual-asset platforms in the US and China. Its overseas subsidiaries in the US, Hong Kong, Vietnam and Brazil posted 498.1 billion won ($359 million) in pretax profit last year, up 200% from a year earlier. Korea Investment & Securities is diversifying earnings through investment banking centered on the US and Hong Kong, along with retail footholds in Southeast Asia. Samsung Securities and NH Investment & Securities are also seeking to expand through local subsidiaries into investment-banking businesses including M&A advisory and initial public offerings.

Industry officials say brokerages' competitive edge will depend on global reach and the ability to integrate assets. A business structure tied to a single country has clear growth limits, making it critical to build customer bases across multiple regions and connect them through a single platform. "It is difficult to expect stable earnings from brokerage commissions alone," one industry official said. "The key competitive advantage will be how many different assets a firm can bring onto its platform." The person added that companies that move first to secure digital-asset infrastructure are likely to gain control of the market.

Jeon Ye-jin, Hankyung.com reporter, ace@hankyung.com