South Korea’s Shinhan Asset Management has signed a four-party agreement to test a Korean won-based tokenized investment fund on the Solana blockchain.
The agreement brings together Shinhan Asset Management, the Solana Foundation, tokenization platform Etherfuse and decentralized exchange Orca. The group will run a proof of concept focused on how a regulated tokenized fund could be issued and distributed.
The planned fund would invest in short-term Korean won bonds and is aimed at overseas institutional investors. The companies have not yet revealed the fund’s size, expected returns or a date for a public launch.
The test will cover the full process of running a tokenized fund. This includes investor identity checks, anti-money laundering controls, token issuance, distribution and onchain liquidity.
Shinhan will handle asset management and regulatory matters. Etherfuse will provide the technology needed to create and manage the tokenized assets, while Orca will work on the liquidity system for distributing and exchanging the fund tokens on Solana.
The Solana Foundation said the project takes some ideas from BlackRock’s BUIDL fund, which uses blockchain technology to distribute a tokenized investment product. However, the Shinhan fund would be different because it would focus on Korean won assets and short-term domestic bonds rather than U.S. Treasury securities.
Solana’s fast transactions and low costs could make it useful for fund subscriptions, redemptions and transfers. But using blockchain does not remove the need to follow securities laws, custody rules and investor protection requirements.
Solana has already attracted other asset managers in Asia. In July, SBI Global Asset Management launched a tokenized Japanese equity fund on the network for institutional and accredited investors through regulated tokenization platform DigiFT.
Shinhan is also testing another blockchain. On Aug. 14, the asset manager signed a separate agreement with Plume for a demonstration involving a won-denominated tokenized fund.
The two projects show that Shinhan is testing different blockchain and distribution systems before deciding how it could move forward. The results of these trials may help determine which technology the company uses once South Korea’s new securities rules take effect.
South Korea’s updated framework is expected to play a major role in any future launch. The National Assembly approved amendments supporting tokenized securities on Jan. 15. The changes recognize distributed ledgers as valid securities records and allow qualifying investment contract securities to be distributed through licensed securities companies.
However, companies will still have to meet securities registration and disclosure requirements. Unlicensed businesses will not be allowed to broker tokenized securities.
The new rules are expected to take effect in early 2027, giving regulators and financial institutions time to prepare the required systems and investor protection measures.
The wider tokenization market is also attracting growing attention. Solana said the tokenized real-world asset market was worth around $36 billion, while forecasts from Boston Consulting Group suggest the sector could grow into the trillions of dollars over the next decade.
Those numbers are forecasts, not guaranteed outcomes. Current adoption remains much smaller, with publicly visible onchain real-world assets reaching roughly $30 billion by mid-2026.
For now, Shinhan’s Solana project remains a test rather than a confirmed product launch. The next steps will depend on the results of the proof of concept, South Korea’s final regulatory framework and interest from eligible institutional investors.
