The chapter describes rise of the Trusts in China and their role in Shadow Banking. It also describes the original Trust Investment Companies in the history of the PRC and their transformation into the Trusts of today’s China. It mentions the history of Citic and its founder, Rong Yiren, and the relationship with capitalism in China. The chapter analyzes the collapse of Guangdong Investment Trust and the rise of Trust assets from 3 trillion renminbi in 2007 to more than 12 trillion renminbi in 2012 and 15.8 billion renminbi by the end of 2015. It then mentions the rules governing Trusts and their ownership structure. The potential for default by Trusts and the impact on China’s economy from a systemic point of view are explained. It reviews the near default of the Credit Equals Gold Trust product and its recapitalization. It mentions the importance of Trust investments to Shadow Banking and the rise of Capitalism in China.