Caixin: RWAs Based on Assets in Hong Kong Not Attributable to Onshore Regulators

BlockBeats News, February 21st. An article in Caixin magazine titled "Strict Regulation of Overseas RWA" pointed out that on February 6th, the People's Bank of China and eight other departments issued a notice regarding further preventing and addressing risks related to virtual currencies (referred to below as Document 42), with the overall theme of "strict overseas regulation." According to sources familiar with Chinese regulators, RWAs based on assets in Hong Kong are not within the scope of Document 42 regulation and are not the responsibility of Chinese domestic regulators. If RWAs involve domestic securities or funds as underlying assets and are issued overseas, they will be the responsibility of relevant departments of the China Securities Regulatory Commission. The statement emphasized that strict regulation will be implemented for domestic assets going abroad for RWAs and should not be interpreted as an encouragement or relaxation of regulatory signals.

Additionally, according to Caixin, on the weekend of the release of Document 42, a team from CICC Hong Kong had already been in contact with major public chains and exchanges to discuss business cooperation opportunities. Leaders of public chains also expressed a desire to cooperate with relevant investment banks and other intermediary institutions to explore business opportunities. Ant Group and JD.com have both expressed a high level of attention to the policy changes.