Shinhan Targets $30 Trillion RWA Market with KRW Tokenized Fund on Solana
Shinhan Asset Management is developing a KRW-based tokenized fund on the Solana blockchain.
1Shinhan's Tokenized Fund Project
Shinhan Asset Management is developing a KRW-based tokenized fund on the Solana blockchain. The project models BlackRock's BUIDL fund and targets institutional investors. It fully tests the issuance and distribution processes ahead of South Korea's STO framework. Shinhan has signed a four-party agreement with Solana Foundation, Etherfuse, and Orca.
2BlackRock Model
Shinhan's tokenized fund project is structured similarly to BlackRock's BUIDL fund. This model allows overseas institutional investors to invest in KRW through tokenization on Solana. The project is in the technology validation phase and is not yet a product launch. Shinhan covers the entire lifecycle of the fund in the proof-of-concept process.
3Infrastructure Before Regulation
South Korea has enacted laws for tokenized securities, expected to be fully implemented by 2027. Shinhan is testing infrastructure and operational processes without waiting for full regulatory launch. The project will test how tokenized fund issuance complies with national and international foreign exchange and investor protection regulations.
4Solana's Role
Solana enhances its prominence in the tokenized asset space by providing blockchain infrastructure for this project. Solana Foundation facilitates blockchain infrastructure, while Etherfuse brings tokenization technology and issuance tools. Orca participates in creating the onchain liquidity protocol and the distribution and trading of tokenized fund shares.
5Tokenized Asset Market
Tokenized real-world assets have become a major focus for banks, asset managers, and fintech companies. Industry experts predict the market could reach trillions of dollars in the next decade. Shinhan's project goes beyond a mere technology experiment.
6South Korea's STO Framework
South Korea has established a legal framework for tokenized securities, expected to be fully implemented by 2027. Shinhan is using this transition period to test infrastructure and operational processes. The project will test the compliance of tokenized fund issuance with regulations.
7Global Competition
There is increasing global competition in the tokenized asset market. Banks, asset managers, and fintech companies are adopting tokenization technology to modernize traditional financial products. Shinhan's project could be a significant step in this competition.
8Future of Financial Products
Tokenized assets are shaping the future of financial products. Shinhan's KRW-based tokenized fund on Solana could be a pioneering example of this trend. The project represents a significant technological and financial step forward.