RWA FOUNDATION
Redemption & Custody Chain
Getting cash back means unwinding the same chain in reverse
Redemption usually starts with a request through the issuer or its platform. The fund then raises cash, by selling bills or using cash it already holds, while the transfer agent updates the ownership records. The custodian releases the proceeds, and the investor receives cash or stablecoins. Some products burn the token when the request is accepted, others only when the payout is complete. Timing, and when tokens are burned, depend on the product's process. Each step relies on an institution doing its part.
Burning the token is one step among several. Check each step between your request and the cash arriving.