After Mainland China's Document No. 42 Sets the Tone, What is the Best RWA Token Standard?
China's "Document No. 42" (Yin Fa [2026] No. 42), issued by the People's Bank of China and eight other departments, formally recognizes and regulates Real World Asset (RWA) tokenization, defining it as the use of encryption and distributed ledger technology to convert asset ownership or rights into tokens. The document establishes a compliance pathway, requiring domestic entities to file with the China Securities Regulatory Commission (CSRC) and separating RWA from unregulated virtual currencies.
Globally, the RWA market has grown significantly, reaching $23.7 billion. The article analyzes various token standards and their evolution. Early standards like ERC-3525 and ERC-3475, designed for bonds and contracts, saw limited adoption due to complexity. In contrast, successful application-first models like Aave's aToken (using a scaled balance mechanism for automatic interest accrual) and Lido's stETH (using a daily rebase model) thrive by prioritizing user experience and compatibility.
For equity tokenization, platforms like Ondo and xStock on Solana use a "chain shares + multiplier" rebase model within the Token-2022 standard, adjusting display values for corporate actions like stock splits. Major exchanges and wallets (Jupiter, Binance, MetaMask) are increasingly supporting these tokenized assets.
The author concludes that while China's regulatory clarity is positive, true success depends on leveraging blockchain's advantages—24/7 liquidity, fractionalization, transparency, and automation—to create practical value, rather than just defining perfect standards. The evolution should focus on user-centric solutions that address real market gaps.
marsbit02/12 06:10
