Caixin: Ant Group Conducts China's First Domestic Pilot of RWA

BlockBeats News, February 21st. Caixin's article "Strict Regulation of Overseas RWA" revealed that the earliest domestic RWA case in China came from Ant Group. Ant Group has successively helped companies such as Xinjitou and Langxin Technology to complete RWA financing ranging from tens of millions to hundreds of millions of RMB. Ant Group takes the income rights of these companies' assets as underlying assets, splits them into standardized digital tokens through blockchain technology, and helps the companies issue digital tokens for financing. These RWA projects all follow the "domestic assets, Hong Kong-based ownership, global circulation" paradigm. According to Hong Kong regulatory requirements, these projects are not open to retail investors but only to institutions or professional investors, and there is no secondary market trading.

Regarding which types of domestic Chinese assets are suitable for overseas RWA, knowledgeable policy makers stated that, in principle, any asset that meets regulatory requirements can be used, but it must not be a category of assets listed on China's domestic regulatory negative list. Some individuals in the crypto field pointed out that high-quality domestic Chinese companies with conditions for overseas IPOs would not choose RWA, as choosing RWA would inevitably not meet the listing requirements in Hong Kong. Before conducting overseas RWA with domestic assets, it is necessary to first confirm asset, fund, and information security, ensure compliance with requirements related to cross-border investment, foreign exchange management, data security, etc., and finally obtain filing with the securities regulatory department. The filing process will be further considered based on individual cases.