Major financial associations in China have jointly issued statements, officially confirming that the tokenization of real assets (RWA) is an illegal financial activity. According to the announcement, activities related to RWA include unauthorized fundraising and trading, which have not been approved by Chinese financial regulators, and may constitute illegal fundraising or unlicensed securities issuance.
The notice emphasizes that any organization or individual participating in RWA domestically faces serious legal risks. Notably, this warning extends to overseas activities, as Chinese individuals, businesses, or organizations providing technical, financial support or promoting international RWA projects could also be held legally responsible.
This move demonstrates China’s firm stance in controlling unregulated blockchain-based financial products.