Hanwha Builds Avalanche Tokenized Securities Platform Ahead of Korea Rules

Hanwha Investment & Securities has completed a tokenized-securities platform that supports Avalanche and Hyperledger Besu, positioning the brokerage for South Korea’s planned legal recognition of tokenized securities from February 4, 2027. The platform was developed with FairSquare Lab, according to a September 6 report by the Seoul Economic Daily.

The build arrives days after South Korea’s Financial Services Commission said tokenized securities would be recognised under the Electronic Registration Act from the February 2027 date. The announcement provides a timetable for financial-market participants developing systems for issuance, registration and related services, rather than an immediate broad-market rollout.

Hanwha completes multi-network platform

Hanwha’s completed platform is designed to operate across more than one blockchain network, with Avalanche and Hyperledger Besu among those supported. That approach matters in a market where tokenized instruments may need to connect with established financial infrastructure rather than operate as isolated on-chain products.

The available reporting does not set out which securities Hanwha intends to issue or service through the platform, nor a launch timetable for specific products. It does, however, place the brokerage among institutions completing technical work before the regulatory framework takes effect.

FairSquare Lab, Hanwha’s development partner, describes itself as a blockchain-infrastructure provider working with Korean financial-market infrastructure institutions. On its website, the company identifies the Korea Securities Depository and the KRX security-token consortium among the institutions with which it works.

Hanwha’s stated support for Avalanche and Besu overlaps with networks being considered for Korea’s wider tokenized-securities infrastructure, giving the partnership relevance beyond a single-network deployment. The reports do not say that Hanwha’s platform has been integrated into that infrastructure.

February 2027 framework

The Financial Services Commission announced on September 4 that tokenized securities will gain legal recognition under the Electronic Registration Act on February 4, 2027. The policy shift is significant because it brings the instruments into Korea’s electronic-registration regime rather than treating tokenisation solely as a private technology initiative.

The FSC has set a defined first implementation phase. It will cover institutional money-market funds and bonds; unlisted stocks issued through trust structures; and publicly offered fractional-investment securities.

The initial scope indicates that the policy is being phased by instrument type. It also helps explain why firms are building systems ahead of the effective date: the operating framework is scheduled, while market infrastructure and participants still need to be ready to support the instruments covered at launch.

Hanwha is assembling its technology against a known regulatory deadline by completing a multi-network platform before the legal change. But the evidence supplied does not establish whether the company will participate in every category covered by the first phase or be among the earliest issuers or account managers once the rules take effect.

Hanwha Investment & Securities building; the article’s original image accompanying its report on the Avalanche-based tokenized-securities platform. — Source: Seoul Economic Daily

Depository network connections

The Korea Securities Depository is developing tokenized-securities infrastructure capable of connecting with Hyperledger Besu, Hyperledger Fabric and Avalanche, the Seoul Economic Daily reported. Participation in its system is limited to electronic-registration institutions and account-management institutions, according to the report.

The report said Hanwha Investment & Securities’ completed tokenized-securities platform supports Avalanche and Hyperledger Besu. The two supported networks overlap with two of the depository’s planned connections as Korea approaches February 2027.

Technical compatibility with a relevant blockchain does not by itself establish participation in the Korea Securities Depository’s infrastructure.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.