China Halts RWA Tokens in Hong Kong – Whatโ€™s the Big Deal? ๐Ÿšจ

Key Takeaways (Or Why Your Bank Is Now a Sci-Fi Novel)

How is Hong Kong Advancing Its Digital Finance Initiatives? (Spoiler: Not With a Boring Spreadsheet)

Hong Kong advances tokenized deposits, RWA trading, and crypto exchange licensing, in collaboration with the HKMA and SFC. ๐Ÿง โœจ

What Is the Current Size of the Global RWA Market? (Hint: Itโ€™s Bigger Than Your Savings Account)

The global RWA market surpassed $25 billion in Q2 2025, driven by institutional demand. Industry forecasts suggest it could exceed $2 trillion by 2030. ๐Ÿ“ˆ๐Ÿ’ธ

Chinaโ€™s top securities regulator has reportedly urged certain domestic brokerages to put the brakes on their real-world asset (RWA) tokenization activities in Hong Kong. ๐Ÿšซ๐Ÿš€

The move, according to two sources, reflects Beijingโ€™s growing caution over the rapid momentum of digital asset experiments taking place offshore. ๐Ÿค”๐ŸŒ

China Asks Brokers to Pause RWA (Because Risk Controls Are Just a Fancy Way of Saying โ€˜Weโ€™re Scaredโ€™)

The China Securities Regulatory Commission (CSRC) contacted at least two firms in recent weeks, asking them to halt tokenization businesses offshore. ๐Ÿงต๐Ÿ”

The guidance aimed to strengthen risk controls and ensure corporate claims were supported by legitimate operations. ๐Ÿง ๐Ÿ’ผ

This came as Hong Kong positioned itself as a digital asset hub, licensing exchanges and reviewing legal frameworks for tokenized deposits and RWAs. ๐ŸŒ๐Ÿ›๏ธ

It goes on to show that, despite previously leading in crypto, China has been cautious since banning trading and mining in 2021 over financial stability concerns. ๐Ÿšจ๐Ÿ“‰

Hong Kongโ€™s RWA Approach (Because Why Not Turn Everything Into a Blockchain?)

Meanwhile, Hong Kong advances tokenization, including tokenized deposits and RWA trading, with Financial Services and the Treasury Bureau (FSTB) and the Hong Kong Monetary Authority (HKMA) reviewing the legal framework. ๐Ÿงฉโš–๏ธ

The global RWA market exceeded $25 billion in Q2 2025, driven by institutional demand, and could surpass $2 trillion by 2030. ๐Ÿš€๐Ÿ“ˆ

Hong Kong is also advancing in digital finance. HKMA and SFC initiatives are enhancing efficiency, liquidity, and investor protection. ๐ŸŒ๐Ÿ’ก

Reportedly, it plans to approve more crypto exchange licenses by the end of 2025, building on previous frameworks from 2018 and 2020. ๐Ÿ“…๐Ÿš€

Seazen Enters Digital Assets (Because Why Not? ๐Ÿ—๏ธ)

Meanwhile, Chinese property developer Seazen Group has announced a digital assets institute in Hong Kong to explore RWA tokenization. ๐Ÿง ๐Ÿ’ฐ

Seazen said it planned to tokenize intellectual property and asset income. It is a move that could make it the first major Chinese developer to raise funds through tokens. ๐ŸŽฏ๐Ÿ”

Other firms signaled interest, too. HK Asia Holdings recently acquired 7.88 BTC (~$761,705) after a 1,700% stock surge. AnchorX also launched AxCNH, the worldโ€™s first stablecoin pegged to the offshore Chinese Yuan. ๐ŸŒ๐Ÿ’ธ

These initiatives show growing digital asset adoption, with China prompting global caution amid rising crypto market competition. ๐Ÿง ๐ŸŒ

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2025-09-23 09:16