The Financial Services Commission of South Korea (FSC) опубликовала guidelines on security tokens, according to which they should be treated as securities and regulated under the Capital Markets Act.
Such recommendations will apply to digital assets that have the characteristics listed in the document.
The FSC may also recognise as security tokens those that provide a share in business operations, grant holders rights to dividends or residual assets, or provide profits from the business.
Digital assets not falling under the securities definition will be regulated as regulatory assets to be developed in the future.
The determination of compliance with the criteria for the status of security tokens will be entrusted to issuers and exchanges. Assessments will be conducted on a case-by-case basis.
The FSC stressed that the guidelines form part of preparations for the legalisation of the issuance and distribution of security tokens in the country.
As reported in October 2022, the FSC said that, as part of anti-money laundering efforts would begin to track user transactions involving digital assets valued at more than 100 million KRW (~$70,000).
Earlier, the Ministry of Justice of South Korea announced the rollout in the first half of 2023 of a system to track crypto transactions to counter money laundering and recover funds obtained illegally.