Key Insights
- Hong Kong widens its licensed crypto market as HashKey opens IPO subscriptions.
- New regulations on staking custody and stablecoins inform the regulatory status of the firm.
- New revenue plans center on HashKey Chain as institutions respond to the regulated model.
HashKey Group has opened registrations for its initial public offering, adding new momentum to Hong Kong’s regulated digital asset market. The operator of one of the city’s licensed crypto exchanges plans to raise HK$1.67 billion ($214.7 million) ahead of a scheduled listing on Dec. 17.
Regulatory Shifts Drive IPO Momentum
According to a prospectus filed with the Hong Kong Stock Exchange (HKEX). The offer includes 240.6 million shares priced between HK$5.95 and HK$6.95 each, placing the company’s potential valuation at HK$19.2 billion ($2.46 billion) at the upper limit.
HashKey’s prospectus reports HK$167 billion in cumulative spot trading volume as of Sept. 30, reflecting how the firm built scale under Hong Kong’s new licensing regime for retail and institutional traders.
Over the past two years, Hong Kong has strengthened its controls in the digital asset industry. In April, regulators introduced the option of staking under supervision, and in August, they implemented stricter custody requirements for licensed platforms.
New guidelines on stablecoins introduce capital and disclosure obligations for issuers, as well as strengthen the shift towards dollar-based products in the city. Mainland pressure also influenced parts of the framework, as Beijing requested that big tech companies in October to suspend their plans to launch stablecoins in Hong Kong.
Compliance Helps Shape Market Position
HashKey positions itself as an early operator under Hong Kong’s updated regulatory model, using compliance and controlled service design to build an institutional user base.
The company reports HK$29 billion (US$3.71 billion) in assets under management, making it the largest provider in Asia and ranking eighth globally. It also manages HK$1.7 billion (approximately US$218 million) in real-world asset value, thereby tying its core business to tokenized instruments.
Moreover, the increased regulatory framework has created an environment in the market that favors licensed operators and raises the compliance standards. The approach creates a clearer distinction between controlled companies and offshore providers and is expected to attract more institutional actors to Hong Kong.
Layer-2 Strategy Becomes Central to Growth Plans
Revenue remains early-stage, but the firm stated that it is shifting toward real-world financial assets and plans to generate revenue through gas fees accrued on HashKey Chain, a layer-2 network for RWAs, stablecoins, and institutional applications.
The IPO marks a significant step in Hong Kong’s attempt to scale licensed digital asset services. It also reflects how operators are beginning to align trading, custody, staking, and tokenization into single regulated ecosystems under Asia’s evolving digital asset framework.
