China Pumps the Brakes on RWA Businesses in Hong Kong: Reuters

Group 1 - China's securities regulator has instructed some brokerages to pause their real-world asset (RWA) tokenization businesses in Hong Kong to enhance risk management [1][2] - At least two brokerages have been advised against conducting any RWA business offshore, indicating regulatory scrutiny [1] - The guidance reflects concerns from Beijing regarding Hong Kong's development of a digital asset market, especially after China's ban on cryptocurrency activities in 2021 [2] Group 2 - Several Chinese companies, including brokerages, have recently launched RWAs in Hong Kong, highlighting the region's growing digital asset landscape [2] - Hong Kong operates under a distinct financial system separate from mainland China, as part of the "One Country, Two Systems" framework [3]