South Korean brokerage Hanwha Investment & Securities developed a tokenized securities platform on the Avalanche network, according to the official announcement on Avalanche published on September 7, 2026. The firm operates under a $200 billion South Korean conglomerate.
BREAKING: Hanwha Investment & Securities, part of the $200B Korean conglomerate, is building its new tokenization platform on Avalanche
Hanwha is bringing traditional assets into global onchain markets, using Avalanche as the infrastructure connecting institutional finance to… pic.twitter.com/uBiLSyi8ax
— Avalanche🔺 (@avax) September 7, 2026
The platform connects conventional investment vehicles to distributed ledgers. Hanwha intends to support direct issuance and lifecycle management of institutional financial assets, using programmable blockchain rails to streamline settlement times, recordkeeping accuracy, and secondary market transfers.
Technical Architecture and Enterprise Compatibility
Technical development began in 2025 alongside blockchain technology provider FairSquare Lab. The system features a multichain architecture supporting Hyperledger Besu, enabling Hanwha to operate across both private enterprise Ethereum environments and public institutional networks.
Through Avalanche, institutions can launch dedicated sovereign chains with customized access controls and permissioned validator sets. This design allows financial entities to satisfy mandatory compliance standards while maintaining dedicated transaction capacity isolated from open-market network congestion.
The Korea Securities Depository is establishing parallel infrastructure to communicate across distributed ledgers. Its technical specifications accommodate Avalanche, Hyperledger Besu, and Hyperledger Fabric, establishing standardized integration guidelines for domestic brokerages preparing digital securities custody.
South Korea Regulatory Timeline for Digital Securities
Hanwha completed platform development ahead of revisions to South Korea’s Electronic Securities Act and Capital Markets Act. The legislative amendments will take effect on February 4, 2027, formally recognizing distributed ledgers as statutory registries for securities.
The Financial Services Commission outlined a phased implementation structure. Initial rules will permit tokenization for selected investment funds, debt instruments, unlisted equities, and trust-issued fractional investment contracts under direct regulatory oversight.
A second regulatory stage plans to expand eligibility to all public securities offerings. The final phase involves the deployment of onchain settlement using stablecoins, allowing delivery-versus-payment execution to settle directly against programmed digital liquidity.
South Korean regulators also mandated operational redundancy standards for distributed ledger maintainers. Participating entities must demonstrate system security, data recovery protocols, and verifiable ledger synchronization to prevent operational disruptions or discrepancies in legal asset ownership.
Licensed financial firms will not require separate operational permits exclusively to trade tokenized instruments. Digital securities will remain subject to existing market regulations rather than being classified as an independent asset tier.
Strategic Investments and Institutional Precedents
Hanwha Group has built equity positions across tokenization technology firms over several years. Through three affiliated entities, the conglomerate accumulated a combined 9.6% stake in Securitize, becoming its largest shareholder before the platform listed on the New York Stock Exchange.
Securitize went public on the New York Stock Exchange under ticker SECZ in July. The company issued tokenized versions of its common shares on Avalanche, representing identical ownership rights to its exchange-listed shares rather than an isolated security class.
Securitize provides infrastructure for fund managers including KKR and Apollo. Within Avalanche, the expansion of BlackRock BUIDL demonstrated measurable inflows into tokenized real-world assets during institutional adoption waves.
Institutional debt issuance on the network also includes private credit facilities. In one transaction, Galaxy structured the issuance of structured debt totaling $75 million through a collateralized loan obligation deployed directly on Avalanche.
In regional markets, Japanese platform Progmat migrated its security token infrastructure from Corda to a dedicated Avalanche Layer 1 in July. The configuration decoupled application layers from underlying ledgers to facilitate multi-chain asset distribution.
Hanwha also holds financial investments in Digital Asset, the developer of the Daml smart contract framework. These holdings place the brokerage across core operational layers of institutional distributed ledger development in the Asia-Pacific financial sector.
Commercial product releases by Hanwha await regulatory standards that the Financial Services Commission will finalize before statutory reforms take effect in 2027.
This article is for informational purposes only and does not constitute financial advice.
