Investors will be able to lend stocks through the blockchain-based platform.
The Financial Supervisory Commission Wednesday allowed the fintech firm Directional to use its blockchain platform for peer-to-peer stock lending.
So far, individuals could not lend stocks among themselves. They must borrow only through securities companies.
The commission said it approved the nine applications as the innovative financial services that would get permission under the regulatory sandbox.
The regulatory sandbox refers to a mechanism for developing regulations to support innovative projects and services.
Directional said it would link its peer-to-peer blockchain platform to the Shinhan Investment for starting stock lending brokerage from June.
The regulator also authorized the other innovative financial services under its regulatory sandbox program.
