Beijing’s Regulatory Caution Slows Hong Kong’s RWA Tokenization Momentum

Hong Kong's ambitious push to become a global hub for real-world asset (RWA) tokenization faces headwinds from Beijing's cautious regulatory stance. The China Securities Regulatory Commission (CSRC) has informally instructed mainland brokerages to pause RWA projects in Hong Kong, seeking tighter risk controls before greenlighting large-scale adoption.

While Hong Kong regulators aggressively court digital asset innovation, Beijing's intervention underscores China's prioritization of stability over market hype. "Tokenization must not outpace regulation," emphasized a Beijing-based financial lawyer familiar with the CSRC's thinking. This regulatory friction highlights the tension between Hong Kong's financial ambitions and mainland China's risk-averse approach to blockchain-based securities.