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China's decision to establish a legal framework for real-world asset (RWA) tokenisation has spurred investor interest in related stocks across the mainland and Hong Kong. The move allows offshore issuance of tokens backed by Chinese onshore assets, shifting the sector from a previously grey area to a more regulated environment. Brokerage firms note this change will encourage compliance-driven growth, benefiting investment banks and tech companies with blockchain expertise. Following the announcement, shares of several companies involved in RWA tokenisation and cryptology services recorded notable gains, reflecting market optimism.
Investors have shown strong interest in China and Hong Kong's real-world-asset-related stocks after Beijing outlined a legal framework for RWA tokenisation. The framework permits the offshore issuance of tokens backed by Chinese onshore assets, though such activities remain restricted on the mainland. Advertisement
RWA tokenisation, which converts traditional assets like securities and real estate into digital tokens, had previously operated in a regulatory grey zone in China. Guosen Securities described the new guidelines as a milestone for the country's emerging RWA market, highlighting their far-reaching implications. The brokerage noted that this development will transform the sector from unregulated growth into a race for compliance, opening avenues for investment banks with blockchain and cross-border asset securitisation expertise.
Following the announcement, Hong Kong-listed shares of Guotai Junan International 1788.HK, which holds virtual asset-related licenses, surged more than 6%. Shenzhen-traded GCL Energy Technology 002015.SZ, which had previously raised funds through RWA tokenisation in Hong Kong, jumped around 7% to reach a five-month high. Shares of other RWA-related companies, including Longshine Technology 300682.SZ, Tansun Technology 300872.SZ, and Yusys Technologies 300674.SZ, also experienced gains.
Guosen Securities highlighted that while the new rules are expected to filter out non-compliant projects, they will simultaneously create opportunities for technology firms offering compliant and efficient data management solutions for blockchain-based businesses. Companies providing cryptology services, such as Beijing Certificate Authority 300579.SZ and Sinosun Technology 300333.SZ, also saw their shares rise, reflecting broader investor optimism in the regulatory clarity and growth potential of the sector.
Source Reuters
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