Original | Odaily Daily Report (@OdailyChina)
Author | Ding Dang (@XiaMiPP)
Recently, a large number of cryptocurrency companies announced plans to go public in the United States, and the crypto investment firm Animoca Brands has also been reported to be considering a return to the capital markets. In response, the company’s president, Ouyang Qijun, stated that since the group delisted from Australia, it has indeed been evaluating new listing opportunities. He admitted that the IPO enthusiasm for virtual asset companies in the U.S. market remains strong, but as a Hong Kong company, Animoca Brands still prioritizes local fundraising. He pointed out that the final listing timing and location will depend on the overall market environment and the level of cooperation from potential investors, “there is currently no final decision yet.”
This statement is not surprising. On the global capital map of Web3, Hong Kong’s attractiveness is currently being re-evaluated. In recent years, the regulatory framework in Hong Kong has gradually become clearer, providing a relatively predictable compliance path for digital asset companies. Compared to Singapore, which once had a relaxed regulatory environment but has since tightened, Hong Kong’s stance appears more proactive. Especially after the Monetary Authority of Singapore (MAS) announced that all crypto enterprises would be included under DTSP licensing regulation, many companies have refocused their attention on Hong Kong: it is not only located at the core of the Asian market but also retains a unique channel to connect with the global financial system. The adjustment of the policy environment, combined with geographical and financial advantages, has allowed Hong Kong to regain competitiveness in the migration of Web3 capital. For more details, refer to “After Singapore’s ‘expulsion of guests’, has Hong Kong become the ‘East Asia Crypto Friendly Capital’?”.
Regulatory Acceleration: Stablecoin Regulations Implemented, Policy Declaration 2.0 Released
In 2025, Hong Kong has been active in the regulation of crypto assets, with a noticeable acceleration in the implementation of policies.
On May 30, the Hong Kong SAR government officially published the “Stable Coin Ordinance” in the Gazette, announcing that the law will come into effect on August 1. This marks Hong Kong as one of the first jurisdictions in the world to establish a legal regulatory framework for stablecoins. According to the ordinance, only licensed institutions are allowed to sell stablecoins pegged to fiat currency in Hong Kong, and only licensed issuers are permitted to offer such products to retail investors.
The Secretary for Financial Services and the Treasury, Xu Zhengyu, stated: “After the enactment of the ‘Regulation’, the licensing system will provide appropriate regulations for relevant stablecoin activities, marking a milestone for the sustainable development of Hong Kong’s stablecoin and digital asset ecosystem.”
The Financial Secretary of the Hong Kong Special Administrative Region, Paul Chan, stated at the 2025 Caixin Summer Forum that Hong Kong has launched a licensing system for digital asset trading platforms and a licensing system for stablecoins, and is advancing regulatory arrangements for custody and over-the-counter trading.
On June 26, Hong Kong published “Hong Kong Digital Asset Development Policy Declaration 2.0”, updating and continuing the support for digital assets established in the first version of the declaration in 2022. The new policy presents four core directions, including:
- Establish a clear regulatory framework, including the establishment of a licensing mechanism for digital asset trading service providers and digital asset custody service providers.
- Promote the tokenization of more assets, including precious metals, non-ferrous metals, renewable energy, money market funds (MMF), and government bonds, among other real-world assets (RWA).
- Encourage the application of digital assets in scenarios such as payment and settlement, particularly the potential of stablecoins as a payment tool.
- Attract professional talent from the global digital asset sector, promote collaboration with international institutions and enterprises, and enhance Hong Kong’s competitiveness in the global digital asset ecosystem.
Legislative Council member from the Election Committee, Wu Jiezhuang, stated that the policy declaration 2.0 has clear, grand, and sustainable goals, along with specific suggestions to rectify the past chaos in digital assets, which will help the industry develop.
From policy clarity to practical implementation: Hong Kong’s ecosystem is accelerating its formation.
Compared to the establishment of paper policies, a bigger highlight in 2025 is that policies are beginning to “bear fruit”. The interaction between the government, traditional financial institutions, and Web3 enterprises is becoming increasingly frequent, and a more three-dimensional picture of digital assets is unfolding.
First, in terms of institutional incentives, Hong Kong is working to open up the application path for tokenized assets within the real financial system. According to Caixin, the Hong Kong government plans to include tokenized ETFs in the stamp duty exemption, in line with the policy declaration 2.0 that emphasizes “compliance trading platform connectivity,” providing substantial assurance for the secondary market liquidity of this new product. Caitong Securities has also disclosed on the platform that its subsidiary, Caitong Hong Kong, has obtained the qualification for virtual asset ETF agency trading.
Stablecoins are another front where policies are gradually loosening. HashKey Group Chairman Xiao Feng revealed that the future stablecoin licenses issued in Hong Kong will not be limited to the Hong Kong dollar; other fiat currencies or multi-chain issuances (such as Ethereum, Solana, self-built chains) will also be considered. This dual openness in networks and currencies highlights Hong Kong’s inclusivity in technological pathways and provides greater imaginative space for local and international projects.
Traditional brokers entering the market: Compliance trading channels are gradually taking shape.
Guotai Junan announced on June 24 that it has officially received approval from the Hong Kong Securities and Futures Commission to upgrade its existing securities trading license to provide virtual asset trading services and related advice. After the upgrade, customers can directly trade cryptocurrencies such as Bitcoin, Ethereum, and stablecoins like Tether on its platform. Following the announcement, Guotai Junan’s stock price surged over 150% during the day.
According to sources, several local brokers in Hong Kong (such as Victory Securities, Ade Securities, etc.) have completed the upgrade of license No. 1, and Guotai Junan International is not the only Chinese-funded broker applying for such a license. In the future, more institutions may enter the compliant cryptocurrency trading services.
The services provided by the aforementioned brokers are of a “distribution” nature, not a proprietary exchange model. They mainly offer compliant trading channels for mainstream cryptocurrencies such as BTC and ETH by establishing omnibus accounts at licensed exchanges, and do not involve high-risk altcoins.
According to reports, the Hong Kong Securities and Futures Commission’s virtual asset-related licenses include the following categories: operating virtual asset trading platforms, managing investment portfolios with over 10% in virtual assets, providing virtual asset trading services through comprehensive account arrangements, offering advice on virtual assets, and acting as an introducing agent for virtual asset trading platforms.
Tianfeng Securities stated on the interactive platform that its wholly-owned subsidiary Tianfeng International Securities and Futures Limited has been approved by the Hong Kong Securities and Futures Commission to obtain the third type of license related to virtual assets, allowing it to provide virtual asset trading services through a comprehensive account arrangement.
The Financial Secretary of Hong Kong, Paul Chan, stated during a forum on June 21: “We embrace the development of digital assets, 10 virtual asset platform licenses have been issued, and another 8 applications are under review.” He also emphasized that Hong Kong’s legal regulatory framework is being accelerated to lay a long-term institutional foundation for the digital financial ecosystem.
The implementation of industrial support policies has led to the initial emergence of the Web3 entrepreneurial ecosystem.
In terms of industry support, Hong Kong is also making moves. Hong Kong Cyberport has announced the launch of a pilot funding program for blockchain and digital assets, aimed at promoting the development and testing of blockchain and Web3.0 applications. The program is currently open for applications, with a deadline of August 1, 2025. Each eligible company can apply for up to 3 pilot projects, with a maximum funding amount of 500,000 HKD per project. The primary focus areas are: RWA tokenization, payments and stablecoins, decentralized identity verification, social innovation and digital experiences, as well as decentralized artificial intelligence/machine learning.
Professional service organizations have also begun to systematically participate in industrial planning. One of the “Big Four accounting firms”, PwC and the industry organization Web3 Harbour released the “Hong Kong Web3 Blueprint”, constructing a strategic framework around five major dimensions: “talent, infrastructure, standards, regulation, and capital”. Peter Brewin, a partner at PwC Hong Kong, announced the launch of five working groups in August, focusing on stablecoins, fund management, VATP platforms, compliance law, and OTC trading, aiming to promote the implementation of a closed-loop for “Web3 industrial policy + execution synergy.”
The Financial Secretary of Hong Kong, Paul Chan, published an essay in which he pointed out: As of the end of March this year, the number of registered funds in Hong Kong reached 976, with a net inflow of funds exceeding 44 billion USD year-on-year, growing 285%. The two major innovation and technology flagship projects, Hong Kong Science Park and Cyberport, have nurtured and supported 22 listed companies and 20 unicorn enterprises. Although the non-residential property market is still relatively weak at present, experienced investors are buying entire buildings in Tin Hau as a gathering point for Web3 ecosystem development, seizing new developments in Web3 in Hong Kong. Web3 companies have successively rented office buildings in Hong Kong to conduct business, and it is estimated that this demand will continue to appear.
Conclusion: Strategic Coordinates in Formation
The transformation of Hong Kong is both the result of institutional evolution and a proactive exploration of its future positioning. Whether it is the formal implementation of stablecoin regulations, the iteration of regulatory declarations, or the gradual integration of brokerages, funds, and the innovation and technology ecosystem, it all demonstrates that Hong Kong is striving to secure an irreplaceable position in the global digital asset order.
However, this reconstruction is still ongoing. There are still many variables between the market, technology, and policy that have yet to become clear. Whether Hong Kong can truly fulfill its promise as an “Asian cryptocurrency financial hub” requires time, patience, and continuous policy coordination.
At least for now, this city has sent a sufficiently clear signal: it is unwilling to miss the opportunity of reshaping the technological and financial order. The question left for the market is: this time, are they willing to bet on Hong Kong?
