South Korea's KB Securities to Bring Tokenized Funds to Optimism

On Wednesday, the Optimism team announced via a blog post that KB Securities has signed a memorandum of understanding (MOU) with Optimism and Securitize to collaborate to bring tokenized funds to Korean institutional investors on OP Mainnet.

The collaboration intends to start with a tokenized money market fund and a fund built on a KB Asset Management flagship strategy, expanding over time as Korea's regulatory framework develops.

Each party anchors a different piece of the tokenization stack: KB Securities sponsors, issues, and distributes the products; Securitize brings the tokenization platform, fund administration, and transfer-agent infrastructure; Optimism provides the technical settlement layer on OP Mainnet, built on the OP Stack.

KB Securities plans to pursue this opportunity in stages, starting with a tokenized money market fund and a fund built on a KB Asset Management flagship strategy.

Over time, the collaboration intends to extend to a broader range of instruments, including tokenized stocks and ADRs, corporate bonds, and Korean government bonds, as Korea's regulatory framework for tokenized securities continues to develop.

Optimism’s main utility is to batch transactions on the Optimism network. Optimism allows users to enjoy lower gas fees on their transactions executed on the Optimism network through optimistic roll-up technology. 

Optimism (OP) is a layer-two blockchain on top of Ethereum. Optimism benefits from the security of the Ethereum mainnet and helps scale the Ethereum ecosystem by using optimistic rollups. That means transactions are trustlessly recorded on Optimism but ultimately secured on Ethereum.

Optimism is one of the biggest scaling solutions for Ethereum, with over $500 million in TVL. It is home to 97 protocols, the biggest being Synthetix (SNX), a derivatives exchange, Uniswap (UNI), a DEX, and Velodrome (VELO), an AMM. Users can begin their journey on Optimism by adding the chain to their MetaMask and bridging tokens like ETH to the L2. On May 31, 2022, Optimism conducted a highly anticipated airdrop of its OP token.

OP is trading at $0.1247, down 10% in the last 24 hours.