Caixin: Industry insiders say Hong Kong Monetary Authority encourages RWA cases such as new energy and aviation trade financing BlockBeats news, on August 17th, according to Caixin, overseas RWA issuance fundraising is hot, driven by uneven underlying asset quality, questionable trading structure and pricing, as well as ambiguous operations of fund inflow and outflow. The earliest RWA cases in China came from Ant Group, all of which were based on the paradigm of "domestic assets Hong Kong rights confirmation global circulation". According to Hong Kong regulatory requirements, they were not open to retail investors only for institutional/professional investors and there were no secondary market transactions. Industry insiders say that in terms of underlying assets, the Hong Kong Monetary Authority encourages RWA cases such as new energy and aviation trade financing, but does not support real estate projects. Investors are mainly private equity, home office, and wealth management institutions in Hong Kong, and "there is less international capital, making it easier for Chinese investors to understand these projects". According to Caixin, many RWA projects currently have limited funds that can be raised. However, due to the fast issuance process and low threshold of RWA, many companies are looking to form a "coin stock linkage". Observers have pointed out that the current equity sharing mechanism of RWA does not consider the cost of related assets, which may violate basic economic logic.