If you want to create truly compliant on-chain assets, the first thing to solve is the identity issue.

Looking at the compliant issuance plans promoted by $ONDO and $HBAR, they all point to the same pain point—participants' identities must be verifiable to participate. Otherwise, compliance is just empty talk.

IOTA's approach is interesting. Through self-sovereign identity and verifiable credentials, enterprises can prove who they are and what authorizations they have, without exposing sensitive data. This significantly reduces the cumbersome friction from user onboarding, risk control review, to cross-border settlement.

When RWA truly enters the institutional market, you'll find that identity verification is no longer an optional feature. It will gradually evolve into the foundational infrastructure layer of the entire ecosystem. Whoever can do this well will hold the key to entry.