How Do New Token Standards Address the Regulatory Requirements for Tokenizing Real-World Assets (RWA)?
New standards, such as permissioned tokens (e.g. ERC-3643), incorporate compliance logic directly into the smart contract.
This logic can enforce rules like Know Your Customer (KYC) and Anti-Money Laundering (AML) checks, restricting token transfers to only approved, whitelisted wallets. This on-chain compliance layer makes RWA tokenization viable for regulated financial institutions.