South Korea uses Avalanche to push capital markets online

South Korea has launched a three-step tokenization roadmap, launching assets such as private funds, bonds and stocks starting in February 2027.

The South Korean government has announced a three-stage plan, aiming to gradually transfer financial assets such as stocks, bonds and funds to the blockchain network. The plan was jointly announced by the Financial Commission (FSC) and the Korea Securities Depositary (KSD) on September 4, 2026. It details the issuance, trading, clearing, settlement and investor rights protection mechanisms of the digital capital market. As an important supporter of this infrastructure, the Avalanche network is mentioned in official materials as one of the potential technology bases.

Phased implementation: connection from private equity to stablecoin payments

According to the Financial Committee's instructions, the roadmap will be officially launched after the relevant amendments take effect on February 4, 2027. It is divided into three phases:

The first phase mainly focuses on the upstream processing of private equity funds, institutional bonds, unlisted stocks and publicly issued quota investment securities. This phase aims to establish a basic compliance framework to ensure the robustness of the early asset digitization process.

The second phase will further expand the scope of tokenization to cover all publicly issued securities. During this period, the Korea Securities Depositary will be responsible for reviewing the distributed ledger connections of participating companies and playing a key role in connecting tokenized securities with existing market infrastructure.

Third stage The core goal of the company is to achieve interconnection between on-chain settlement and stablecoin-based payment systems. At the same time, regulators will set clear standards, set subscription caps for retail investors, and strengthen investor protection rules to balance innovation and risk management.

Expansion of the Avalanche Ecosystem in Korean Institutional Projects

Although official regulatory announcements do not directly designate a single technology supplier, Avalanche pointed out that its network is deeply participating in multiple institutional pilot projects in South Korea, demonstrating its practical application potential in the real-world asset (RWA) field.

In the field of Supply Chain Finance, POSCO International completed the tokenization of trade receivables on Intain's Layer 1 network based on Avalanche on August 25, 2026. The project was funded and purchased by Olea, a company backed by SC Ventures, a subsidiary of Standard Chartered. Intain uses artificial intelligence technology to reconcile invoices and transportation documents, and then records accounts receivable on the chain. All parties plan to further explore the application of stablecoin cross-border settlement and digital treasury tools.

In terms of asset management, Mirae Asset Global Investments, which manages approximately US$316 billion, signed a memorandum of understanding (MOU) with Ava Labs to collaborate on developing tokenized fund solutions. The cooperation covers key aspects such as investor reporting, income distribution, and transfer agency operations.

South Korean financial institutions accelerate the deployment of Avalanche-related infrastructure

In addition to the above cooperation projects, many mainstream South Korean financial institutions are also actively expanding technology applications based on the Avalanche ecosystem:

• Woori Bank : Participated in the KRW1 stablecoin project with custodian company BDACS. The stablecoin is fully backed by managed Korean won funds to ensure value anchoring.
• NHN KCP: The payment processor, which processed approximately 51.5 trillion won in transactions in 2025, is building South Korea's first blockchain network specifically designed for payments through AvaCloud.
• Danal Fintech: Develop a compliant stablecoin Layer 1 network through AvaCloud within the regulatory sandbox.
• NHN Cloud: Introduce one-party verifier functionality supported by financial-level instances to improve network performance and security.
• WeBlock: A memorandum of understanding has been signed to focus on developing real-world asset infrastructure for South Korea.

According to the Boston Consulting Group (BCG) forecast, with the implementation of these projects, the size of South Korea's tokenization market is expected to reach approximately 367 trillion won by 2030, marking the country's efforts to build a digital capital market. A solid step forward.