I took a quick look at the recent batch of RWA projects on the chain during my lunch break. The promotion is quite lively, but what I care about most is: can the "liquidity" you buy actually be redeemed smoothly? Many seem to have active on-chain transactions, but when I open the redemption terms, I find that you have to queue, there are window periods, and there are even various small print like "can be paused/rescheduled." Honestly, it’s not much different from offline practices; it’s still the same old story.

Recently, during the extreme funding rate wave, the group was arguing whether to reverse the trend or keep squeezing the bubble. I instead think of these RWA projects: they look very smooth during normal times, but when stress testing happens, you find out who really has an exit and who just writes the thresholds in an artistic way. (People like me instinctively take a step back when I see the words "final interpretation rights.") Anyway, I’m not going to focus on narratives about RWA right now; I want to first understand the redemption and liquidation processes, and only talk after I can read and comprehend them.