According to @simplykashif, Chinese authorities have warned the public to be cautious about RWA tokenization, describing it as risky, not officially permitted, and difficult to supervise (source: @simplykashif on X, Dec 6, 2025). He also reports that this warning followed the People's Bank of China stating that stablecoins violate China's KYC and AML requirements (source: @simplykashif on X, Dec 6, 2025). For traders, the reported stance signals heightened regulatory risk for RWA and stablecoin activities connected to China, suggesting tighter risk limits and close monitoring of liquidity and spreads during Asia trading hours (source: @simplykashif on X, Dec 6, 2025). Traders can monitor for headline-driven volatility in RWA-related assets and stablecoin pairs and reassess counterparty and compliance risks for China-facing flows (source: @simplykashif on X, Dec 6, 2025).