‍China Bans Real-World Asset Tokenization The People's Bank of China, alongside seven government departments, has issued a directive prohibiting all activities related to the tokenization of real-world assets (RWA) within the country. Announced on February 6, 2026, this move aims to mitigate financial risks and curb unauthorized digital instruments. The ban targets the conversion of physical asset ownership and revenue rights into cryptographic tokens. It classifies RWA tokenization as illegal, encompassing unauthorized token issuance, trading, fundraising, and related IT services. The prohibition also extends to offshore entities offering such services to Chinese residents. Exceptions may apply to activities conducted under specific regulatory approval and financial infrastructure, suggesting a potential for state-backed initiatives on permissioned blockchains.
‍China Tightens Grip on Overseas Crypto Activities The People's Bank of China, alongside seven other government departments, has introduced strict new regulations targeting domestic entities involved in the global cryptocurrency market, effective February 2026. These measures aim to curb financial risks by extending state control to the offshore activities of Chinese firms and their subsidiaries, ensuring capital outflows and virtual currency issuances remain under administrative control. A primary component is the ban on issuing virtual currencies abroad without prior authorization, closing loopholes previously exploited by Chinese firms. The directive also introduces a specialized framework for the tokenization of real-world assets (RWA), with oversight from NDRC, CSRC, and SAFE. These rules reaffirm China's commitment to a centralized financial model and its skepticism toward decentralized digital assets.
‍Bitget CEO: Banks Must Adopt Crypto's Universality Gracy Chen, CEO of Bitget, states that traditional banks must embrace "universality"—a unified ecosystem for seamless fiat and crypto capital flow—to avoid becoming peripheral. The crypto market's $3 trillion valuation and 700 million users highlight this imperative. Unlike crypto's technical hurdles, traditional finance faces structural barriers. Banks possess necessary tools like APIs and real-time payment rails, but internal silos hinder progress. Modern users prioritize speed and borderless transactions, leading to the integration of payments, staking, and lending within trading platforms and digital wallets. To stay relevant, banks should adopt blockchain infrastructure for interoperability, leveraging their existing strengths for security and regulatory standing within a familiar environment. The future hinges on connecting TradFi and crypto systems for global capital mobility.
‍ARK Invest Divests $17M in Coinbase Amid 37% YTD Decline ARK Invest has sold approximately $17.4 million worth of Coinbase (COIN) shares, marking its first major divestment in 2026. This strategic shift follows a 37% year-to-date decline in COIN's stock price. The capital from the sale was reinvested into Bullish (BLSH), an institutional digital asset platform. This move occurs amidst broader digital asset market volatility, including a correction in Bitcoin (BTC). Despite the sale, ARK remains a significant holder of Coinbase stock across its ETFs. The decision reflects active management in response to market performance and a desire to diversify exposure within the crypto ecosystem.
‍Polymarket Files Trademarks for POLY Token Amid Regulatory Challenges Decentralized prediction platform Polymarket, through its parent company Blockratize Inc., has filed trademark applications for "POLY" and "$POLY" with the USPTO. These filings signal a move towards launching a native digital asset, encompassing services like digital currency provision, blockchain payment systems, and cryptocurrency trading. The company is currently navigating regulatory hurdles, including a restraining order in Nevada. Despite these challenges, Polymarket aims for the token to have "true utility." Analysts estimate a 30% probability of a token announcement before May 2026, contingent on regulatory clearances.
‍Bitcoin Market Turbulence Amidst RWA Growth and Investor Resilience The Bitcoin market is experiencing significant volatility, marked by oversold conditions without a clear catalyst. Institutional developments in Real-World Asset (RWA) tokenization and continued accumulation by long-term holders suggest a complex market dynamic. The Hong Kong Monetary Authority plans to issue its first stablecoin licenses by March 2026, aiming to provide regulatory clarity in Asia. Concurrently, CME Group and Google are piloting tokenized cash solutions, indicating sustained institutional interest in blockchain settlement. While some speculators sell, "OG" investors are increasing their holdings, viewing the current price dip as a strategic opportunity. The emergence of "crayfish networks" consuming computational resources adds an unconventional technical pressure. Overall, the Bitcoin market is professionalizing, with regulatory progress and institutional experimentation counterbalancing technical volatility. The resilience of long-term holders remains a key indicator of Bitcoin's enduring value proposition.