RWA FOUNDATION
The Trust Chain
Every link between you and the asset is someone you rely on
A token is a claim, and a claim is only as good as whoever has to honor it. Moving onchain removes some intermediaries, but not all of them. If one of the remaining parties fails, a token can stay onchain and still lose value.
ISSUER
Owes you redemption. Holding the assets in a bankruptcy-remote SPV can limit your exposure if the issuer becomes insolvent, but it does not guarantee protection.
CUSTODIAN
Holds the backing assets. If it can lend or re-pledge them, known as rehypothecation, someone else may also have a claim on them.
RAILS
Oracles report reference values, bridges move tokens and transfer agents keep the register. Any of them can be wrong, offline or compromised.
Check who you rely on at each step, then ask what happens if one of them fails.