Brokerages eye crowdfunding market

IBK Securities and Korea Asset Securities are among a handful of firms applying for licenses to run equity crowdfunding platforms, industry sources said Tuesday.

“Under the registration system, those who meet the basic requirement such as the amount of capital will get a green light to launch the service,” an official at the regulator Financial Services Commission said. The FSC will announce new licensees later this month.

Five platforms -- Yinc, Wadiz, Ucanstart, SFRfunding and Opentrade -- have been operating online crowdfunding businesses since January, after having registered with the FSC.

The FSC introduced the crowdfunding system as part of its efforts to support the creative economy and financial technology initiatives. The regulator revised the nation’s Capital Market Act last year to provide start-ups with better access to financial resources, hoping to boost the financial technology industry and create more jobs for young people.

By Park Han-na (hnpark@heraldcorp.com)