How Does the Jurisdiction of the RWA Affect the Legal Enforceability of Its Token?
The jurisdiction of the Real-World Asset (RWA) is paramount because property and contract laws are geographically bound. The legal enforceability of the token ▴ the ability to claim ownership or liquidate the physical asset ▴ is governed by the laws of the RWA's location.
A tokenized real estate asset in one country may have clear legal backing, while a similar asset tokenized under a different jurisdiction may have no enforceable claim, creating significant legal risk for investors.