Caijing Magazine: Three Types of Cross-Border RWA Tokenization Are Feasible

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Caijing Magazine highlighted three viable cross-border RWA tokenization models following a notice from China’s central bank and seven other departments. The move classifies RWA tokenization as a new securities activity, potentially benefiting licensed intermediaries in mainland China and Hong Kong. Analysts point to debt-like RWA with fixed repayment terms, equity-like RWA with dividends, and other types such as gold-backed tokens. This development aligns with broader initiatives around liquidity and crypto markets, as well as CFT (Countering the Financing of Terrorism) compliance in digital assets.

BlockBeats news, on February 13, Caijing Magazine reported that the recent notice issued by the People's Bank of China and seven other departments, "On Further Preventing and Handling Risks Related to Virtual Currency," defines RWA tokenization as a new type of securities activity, suggesting that securities intermediaries licensed in both mainland China and Hong Kong are likely to benefit. Analysis identifies three viable cross-border RWA business models:


Debt-oriented RWA tokenization is characterized by a defined maturity date, with principal and interest repaid upon maturity.


Equity-oriented RWA tokenization typically offers dividends and has no defined maturity date.


Other RWA tokenization, such as gold-based RWA tokenization.

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