Core Viewpoint - The report highlights the rapid expansion of the Real World Assets (RWA) market, emphasizing the need for clear theoretical frameworks and regulatory guidelines to manage the associated risks and innovations [3]. Financial Function Perspective on RWA Market - RWA provides new financing channels for illiquid assets, addressing traditional financing challenges [5]. - It lowers investment barriers, allowing ordinary investors to access high-value projects previously available only to institutional investors [5]. - RWA initiators benefit from flexible financial management, improving asset-liability management [5]. - The market enhances transaction efficiency and transparency, enabling global access and reducing fraud risks [5]. - RWA contributes to the stability of on-chain financial activities by providing quality underlying assets for DeFi protocols [5]. Challenges in RWA Market Development - The complexity of modern financial markets increases risks associated with structured financial products [8]. - Historical asset securitization has evolved, but the combination of structured financial derivatives and securitization raises systemic risks [10]. - RWA encompasses both financial and non-financial assets, inheriting risks from traditional financial innovations [11]. Strategies for Healthy RWA Market Development - Identifying RWA-related risk characteristics is crucial, ensuring asset ownership clarity and value stability [13]. - Regulatory frameworks need to evolve, establishing a classification system based on asset attributes and market circulation [14]. - Standardization of RWA is essential, focusing on asset mapping, data interfaces, and regulatory compliance [15]. - Encouraging innovation that serves the real economy is vital, with a focus on high-value scenarios and sandbox testing mechanisms [16].

Group 1 - The "Stablecoin Regulation" will officially take effect on August 1, enabling Real World Assets (RWA) to be tokenized through blockchain technology, covering diverse fields such as real estate and charging stations [1] - The People's Bank of China has launched eight financial opening policies in Shanghai, including the establishment of a digital RMB international operation center and a blockchain cross-border payment pilot, aimed at constructing a dual-layer framework of "sovereign credit + market-based supplement" to address global dollar stablecoin challenges [1] - The Shanghai State-owned Assets Supervision and Administration Commission emphasizes the need to strengthen research on digital currencies and explore the application of blockchain in cross-border trade and supply chain finance [1] Group 2 - Stablecoins and RWAs primarily serve the needs of cross-border payments and asset on-chain requirements, while the revision of the Cross-Border Interbank Payment System (CIPS) rules further clarifies the qualifications of operating institutions and the ownership of funds, allowing space for payments in foreign currencies such as the Hong Kong dollar [1] - The financial IT sector may benefit from the development of the stablecoin industry chain and the improvement of cross-border payment efficiency [1] - The Hong Kong Stock Technology ETF tracks the Hong Kong Stock Connect Technology Index, which is compiled by China Securities Index Co., Ltd., selecting technology industry listed companies with scale advantages and good liquidity from the Hong Kong Stock Connect eligible range [1]

Group 1: Strategic Partnerships - In December 2024, GCL-Poly Energy Technology Co., Ltd. signed a strategic cooperation agreement with Ant Group in Suzhou, focusing on distributed photovoltaic power stations, energy storage stations, and comprehensive energy services [2] - The partnership aims to enhance the digitalization of the energy internet and significantly improve the liquidity of energy assets [2] Group 2: Real World Assets (RWA) Project - The RWA project involves approximately 82 MW of "Xinyangguang" household photovoltaic assets in Hubei and Hunan provinces, valued at around 200 million RMB, marking the world's first photovoltaic asset RWA [2] - This project is the largest in terms of value in China and is expected to yield stable returns [2] Group 3: Market Impact and Advantages - RWA provides a decentralized market opportunity, facilitating efficient connections between domestic green assets and overseas funds, thus promoting sustainable economic development [2] - Compared to traditional investment methods like stocks and REITs, RWA offers lower volatility and is less affected by macroeconomic factors [2][3] Group 4: RWA vs. REITs - RWA has advantages over REITs, including: - Issuance efficiency through smart contracts, significantly reducing the issuance cycle compared to traditional REITs [3] - Greater asset adaptability, focusing on the credibility and stability of asset returns [3] - Cross-border capital connectivity, allowing global investors to access Chinese renewable energy assets [3] Group 5: Asset Monitoring and Market Competition - Project assets can be monitored in real-time on the blockchain, ensuring transparency and stability in energy generation [3] - The RWA market is still emerging in China, with significant activity in Hong Kong and Singapore, where various financial institutions are already involved in RWA issuance [3]