SK Securities, a South Korean financial company partners with blockchain startup Kasa Korea on the tokenization of real estates. SK Securities is a subsidiary of SK Group, South Korea’s largest telecommunications group.
Yonhap news reported that the partnership will aid in the development of “Digital Real Estate Beneficiary Distribution Platform” (DABS).
“With blockchain, the process of issuing, trading and redeeming real estate securities would be streamlined and secure. It will also provide transparency, in the sense that the valuation of securities will be in line with property rates (in theory). By doing away with paper-based transactions, investors can save time and shares in a local property can potentially be bought by global investors.” Legerinsights report.
Investors will now be able to trade and purchase real estate dealings by using digital assets as a means of security.
FSC Approval
In May 2019, (FSC) Financial Services Commission of South Korea recently allowed Kasa Korea’s appeal “to sell real estate certificates to investors through its blockchain platform.”
“We will provide valuable investment alternatives through collaboration with Kasa Korea, which is noted for its innovative services,” an official from SK Securities said.
Subsequently, FSC South Korea gave an exemption to sell real estate certifications to investors based on a trial basis on the blockchain platform.