As Korea's listed derivatives market marks its 30th anniversary, Korea Exchange (KRX) said it will prepare to launch futures products based on digital assets as soon as the relevant regulatory framework is established. The move signals an acceleration of efforts to expand the market beyond traditional finance into new asset classes.
According to KRX on Wednesday, the Korea Derivatives Association, the Korean Finance Association, and the Korean Financial Management Association held a policy symposium at the Financial Investment Center in Yeouido under the theme of "30th Anniversary of Listed Derivatives." Participants assessed that over the past three decades, Korea's derivatives market has served as core infrastructure that absorbed volatility and supplied liquidity through major crises including the Asian financial crisis, the global financial crisis, and COVID-19.
The symposium also featured intensive discussions on the role and future direction of the derivatives market amid changing financial environments driven by artificial intelligence and the spread of digital assets. Participants reaffirmed that derivatives are a key mechanism for facilitating a virtuous cycle in capital markets by providing price discovery and risk management tools.
KRX presented product diversification and new market development as its forward strategy. "We are presenting the diversification of ultra-short-term options products, such as KOSPI 200 zero-day options, as a core task in our future product development strategy," said Kim Ki-dong, a managing director at the exchange, signaling plans to strengthen product competitiveness to meet investor demand.
Kim also said the exchange will prepare to list futures products based on digital assets once institutional frameworks and price index development are in place. He presented mid-to-long-term initiatives including listing carbon emission allowance futures next year in line with the government's carbon neutrality policy and transitioning to a 24-hour trading system.
Participants said the convergence of digital assets and derivatives could serve as a new growth engine, while emphasizing that institutional reforms and investor protection measures must proceed in parallel. "Establishing systematic risk management mechanisms is essential to enhance market integrity and build trust in connection with the introduction of digital asset derivatives," stressed Cheon Seong-dae, a managing director at the Korea Financial Investment Association. Hwang Hyun-chul, a professor at Hongik University, suggested that "the existing principle of separating banking and securities should be re-established when introducing security token offerings and virtual asset derivatives," adding that "virtual assets should be selectively incorporated within the risk management framework of traditional finance, and existing financial firms should be given opportunities to participate to foster the industry."
