Shinhan Investment Corp. Designated as an Innovative Financial Service for Security Token Platform Services

[Asia Economy Reporter Lee Jung-yoon] Shinhan Investment Corp. announced on the 22nd that its security token offering (STO) platform service, developed in collaboration with Apanda Partners, has been designated as an innovative financial service through the Financial Regulatory Sandbox by the Financial Services Commission.

The Financial Regulatory Sandbox system temporarily relaxes regulations to enable the development and launch of innovative financial services.

The official name of the service is a blockchain-based monetary claim revenue security trading platform service. Shinhan Investment Corp. and Apanda Partners plan to launch the service in the second half of next year after a six-month preparation period. Apanda Partners is a fintech company jointly established by Shinhan Investment Corp., Aegis Asset Management, and blockchain technology firm EQBR to develop an innovative STO platform service.

The STO platform service promoted by Apanda is similar to the recently spotlighted real estate fractional investment but is evaluated as having evolved it to the next level.

Existing real estate fractional investments mostly involve directly purchasing real estate for investment. Large prime assets are difficult to acquire, limiting the products available. However, this service securitizes loan claims backed by tangible assets previously invested in by institutional investors. Therefore, it allows trading of various assets including large commercial real estate such as landmark office towers and luxury hotels, as well as power plants, ports, airports, and roads. This opens opportunities for individual investors to access large prime assets that were previously traded only by institutional investors.

Since the assets are verified by institutional investors, the time required for due diligence and review is short. This allows consumers to quickly access new products. Additionally, Apanda’s STO platform is implemented based on EQBR’s third-generation blockchain technology, enhancing the security and stability of asset management.

An Apanda representative stated, "The investment products plan to offer interest income levels higher than market deposit rates," and added, "Investor protection measures will also be established, such as holding a portion of the issued revenue securities with customers until maturity."

Shinhan Investment Corp. established a dedicated blockchain department this year and is promoting various digital asset-related businesses. It is also building its own blockchain infrastructure for a comprehensive platform business that can encompass fractional investment and STO services.

Kim Jang-woo, Head of the Digital Group at Shinhan Investment Corp., said, "We will actively promote the development of innovative financial services to lead the blockchain-based market including STOs and contribute to the advancement of the financial industry," and added, "We will also make every effort to protect investors in new financial services."

This content was produced with the assistance of AI translation services.