The Chinese securities regulator discreetly urged domestic ranges to stop their operations of tokenization of active world (RWA) in Hong Kong, which increases red flags in the rapidly growing digital growing asset sector.
The main dishes to remember:
- The Chinese CSRC has urged local brokerage houses to suspend RWA tokenization efforts in Hong Kong due to the increase in regulatory concerns.
- Hong Kong continues to position itself as a digital active center, attracting dozens of companies in the midst of a booming trend of tokenization.
- Large -scale launches and stock market rallys reflect growing interests of investors, despite the prudent position of Beijing.
The China Securities Regulatory Commission (CSRC) has published informal advice at least two major brokerage houses, asking them to suspend RWA activities, reported Reuters, citing people familiar with the issue.
This decision reflects Beijing’s growing concerns about exposure to risks and speculative activity linked to tokenized products.
Hong Kong appears as a digital active center in Asia in the middle of the tokenization boom
The timing is notable. In the past year, Hong Kong positioned itself as a digital asset center in Asia, with an increasing number of Chinese companies launching trading platforms of virtual assets, token products generating yields and tokenized bonds.
The RWA tokenization refers to the conversion process of traditional assets, such as actions, bonds and real estate, in negotiable digital tokens on blockchain networks.
A source said that CSRC’s action aims to ensure stronger risk management and guarantee that RWA offers are supported by legitimate and sustainable commercial models.
The regulator has not published a public directive and it is not clear how long the current position will be maintained.
While China prohibited the trade and mining of cryptocurrencies in 2021, its institutions supported by the State continue to engage with caution in the innovation of the blockchain.
On the other hand, Hong Kong has deployed a Stablecoin license regime and carry out legal examinations on RWA tokenization through financial services and the Treasury Bureau (FSTB) and Hong Kong Monetary Authority (HKMA).
Several high -level launches have already taken place. The Hong Kong unit of GF Securities introduced “GF tokens” in June, supported by fiduciary currencies.
Meanwhile, China Merchants Bank International helped issue a digital obligation of 500 million yuan for an entity based in Shenzhen last month. The two companies refused to know if they had received directives from CSRC.
In particular, 77 companies have expressed their interest in the new Hong Kong license framework, according to the HKMA.
The enthusiasm of investors has fueled strong gatherings in related actions, Guotai Junan International climbed in flu of more than 400% after obtaining approval to offer an exchange of crypto, and Fosun International jumped 28% after meetings linked to Stablecoin with managers of Hong Kong.
The active worlds tokenized can unlock the tradfi market of 400 t $
In recent research, the digital ownership company Web3 Animoca Brands said that Rwas’s tokenization could unlock a traditional finance market of $ 400 billions.
Animoca researchers Andrew Ho and Ming Ruan have said that the global private credit, treasure debt market, basic products, stocks, alternative funds and bonds represents a large growth track.
“The tradfi market addressed estimated at 400 billions of dollars underlines the potential growth track of RWA tokenization,” they wrote.
Meanwhile, according to the Skynet RWA 2025 security report, the Rwas tokenized market could reach 16 billions of dollars by 2030.
Tokenized US Treasury Bonnes are expected to reach $ 4.2 billion this year, short -term state bonds leading most of the activity.
Institutional interest is accelerating, large banks, asset managers and native blockchain companies exploring tokenization for the management of yields and liquidity.
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