Crypto-related stocks in Hong Kong saw notable gains on July 8, 2025, driven by optimism regarding the region’s stablecoin licensing framework.

The new regulations, effective August 1, will require issuers of fiat-referenced stablecoins to obtain licenses from the Hong Kong Monetary Authority.

Guotai Junan International, a Hong Kong-listed brokerage, reported a 16% increase in its stock price by noon, according to Yahoo Finance. The company recently received regulatory approval to offer crypto trading services in the city.

OSL, a licensed crypto exchange, experienced a 12.2% rise in shares. Dmall Inc., a Chinese digital retail firm, recorded an 8.9% increase, while Victory Securities’ stock climbed 9.2%.

OSL, one of the few licensed platforms in Hong Kong, announced plans to acquire Canadian crypto exchange Banxa for C$85.2 million (US$62.4 million).

Dmall has expressed interest in applying for a stablecoin license and has purchased bitcoin through the HashKey exchange.

Hong Kong’s Secretary for Financial Services and the Treasury Christopher Hui said in an interview that the city may issue stablecoin licenses this year.

🔗 Source: The Block

🧠 Food for thought

1️⃣ Hong Kong’s strategic pivot to reclaim financial leadership through crypto regulation

Hong Kong’s stablecoin licensing framework represents a calculated move to establish itself as Asia’s premier crypto hub after years of declining influence in traditional finance.

The city was recognized as the most “crypto-ready” jurisdiction globally in 2023, with a high concentration of cryptocurrency infrastructure and services 1.

This regulatory approach comes amid a broader recovery in the cryptocurrency market, which saw global gains of $37.6 billion in 2023 after suffering $127.1 billion in losses during 2022’s crypto winter 2.

Hong Kong’s strategy has already attracted substantial interest, with over 80 virtual asset-related companies expressing plans to establish operations in the territory as of February 2023 1.

The licensing regime is deliberately structured to attract institutional players through clear requirements: maintaining full backing of stablecoins by reserve assets and minimum paid-up capital of HK$25 million 3.

This regulatory clarity stands in contrast to the uncertain approaches in other markets, positioning Hong Kong to capture institutional investment that might otherwise flow to competing financial centers.