Today I saw in the news that Guotai Junan has issued two assets: GUSDT and GHKDT. At first glance, I almost thought they were going to issue stablecoins, but upon closer inspection, I found that its underlying layer is money market funds, and these two tokens are fund shares, which are actually more similar to RWA assets like BlackRock BUIDL. Later, upon further investigation, it was found that the differences between these assets were quite significant. Including the BENJI previously issued by Franklin and BlackRock's BUIDL, all three are generally fixed income RWA assets, but their rules and regulatory frameworks are quite different. Firstly, many friends may not know that BlackRock's BUIDL has only managed to break through triple digits in terms of on chain holders so far. According to RWA xyz's data, its user base is approximately 102 people. Why is BUIDL now almost $2 billion in size, but only has over 100 users? It is because although these RWAs have been issued as tokens, they are currently only available for whitelist users to trade. That is to say, even if you have a Little Fox wallet, you cannot directly use these RWA assets because you are not on the whitelist. In addition, BUIDL is essentially a private equity framework, under which the main content is divided into two parts: 1. First level subscription and redemption 2. Secondary trading The threshold for private equity frameworks like BUIDL is very high, and you need to spend over $5 million per transaction to make a single subscription. But companies like Franklin @ FTI-US's BENJI and Guotai Junan's GUSDT and GHKDT are public fundraising structures. Under the public fund structure, its subscription and redemption thresholds are very low: BENJI is $20 2. Guotai Junan is priced at 10 US dollars per 1 US dollar The choice of chain is also quite interesting, BUIDL is posted on ETH, there's nothing to say about it. But just like this BENJI, it was released on the Stellar chain, and many newcomers to this old chain are still unaware of it, which is quite strange. Guotai Junan is a collaboration with @ HashKeyGroup, so it is issued on HashKey Chain. To be honest, it's a bit strange, but at least it's EVM. I delved into why this happened? Cheap public chains are definitely an important factor. Because Franklin and Guotai Junan both operate on a public fund structure, theoretically there will be retail investors casting or redeeming on a daily basis. If a relatively expensive chain is chosen, the friction cost will be very high. BUIDL is a private equity architecture that does not require frequent redemptions or subscriptions, and Ethereum is certainly capable of handling it. Secondly, for Guotai Junan, choosing EVM chains such as HashKey Chain first is also convenient for future migration between different EVMs. If we have to say, there is another factor, which is that chains like Ripple and Stellar, because they didn't catch up with the DeFi wave, started laying out traditional institutions very early and prepared to take the institutional route. It is not difficult to speculate that Franklin's BENJI could not have been implemented without Stellar's wholehearted dedication. Similarly, Guotai Junan and HashKey should also adopt a similar joint issuance approach. PS: The issuance (subscription and redemption) of GUSDT and GHKDT by Guotai Junan was completed on HashKey's Hong Kong compliant exchange. After finishing the first level, let's talk about the second level part. The general requirement for these RWA assets is that transactions are limited to addresses on the whitelist. So there are also criticisms that it's a bit like taking off your pants and farting. This matter needs to be viewed from both sides. A few days ago, there was a No. 42 document in China reiterating its strict attitude towards cryptocurrency. However, it is rare to have a dedicated opening for RWA inside. Its core content is to include RWA in the regulatory scope. At present, domestic supervision is still very strict, but overseas attempts are allowed. It is not easy for Guotai Junan, specifically Guotai Junan (Hong Kong), to be issued 。 Including BlackRock and Franklin, these RWA assets that can be issued in compliance in the United States have gone through countless hardships and difficulties. There's no other way, currently fully compliant RWA assets can only achieve this level. Then, for example, the assets of Guotai Junan, which are subscribed and redeemed in HashKey, have actually delegated the KYC obligation to the exchange, which is already a certain degree of relaxation. So, after these assets are issued, there is still hope for further loosening, as the saying goes: We may one day see retail investors freely using BUIDL, BENJI, GUSDT/GHKDT in DeFi. They are all possible, it just depends on who is the first to eat crabs. At present, this is a "slow trial and error" process under regulatory scrutiny. But as the time is ripe and no major problems arise, the standards will relatively decrease, which can also be considered a historical law. In the past, many people looked down on RWA, but it was in the golden foam era of the currency circle. At that time, any APR could reach 10%, reaching double digits. The 3% and 4% returns on these RWA assets are not enough to look at now. But at this stage, due to their complete compliance, they have become somewhat attractive. And this also has a demonstration effect. More traditional institutions issuing RWA assets in the cryptocurrency circle and fewer inexplicable coins can be considered as good coins defeating bad coins.