SEOUL, Feb. 21 (Korea Bizwire) — South Korean shipyard HJ Shipbuilding & Construction Co. said Monday it has signed a memorandum of understanding (MOU) with the Korea Real Estate Investment & Trust Co. and Mirae Asset Securities Co. to cooperate for the invigoration of security tokens for ship financing.
The three parties will unite forces to cooperate in the issuance of ship financing security tokens using blockchain technology, and to explore new business models.
Security tokens are digital assets that are issued based on traditional assets such as real estate, artworks and securities.
The security tokens for ship financing, an area in which it is difficult to make fractional investments, will be based on blockchain technology to raise a public offering fund.
The advent of token-based fractional ownership of a ship is expected to bring innovation to the shipping and shipbuilding industries, enabling them to move away from conventional methods of placing ship orders.
In addition, the use of security tokens will enable shipyards to secure construction payments in advance, thereby helping them to secure stable order volume and strengthen order-receipt competitiveness.
J. S. Shin (email@example.com)