HashKey Advances Towards Its High-Stakes Hong Kong Listing Despite China's Crypto and Stablecoin Crackdown

HashKey Holdings, the parent company of one of Hong Kong’s licensed best crypto exchanges with over $129 million in trading volume, is advancing towards its proposed public listing, according to new filings from the Hong Kong Stock Exchange (HKEX).

This development follows HashKey’s recent stock exchange listing clearance hearing, with backing from major brokers, including JPMorgan Chase. The HKEX published a 633-page post-hearing information pack for HashKey Holdings at the request of The Stock Exchange of Hong Kong Limited and the local financial regulator, the Securities and Futures Commission (SFC).

HashKey’s victory comes amid China’s crackdown on crypto and stablecoins by the People’s Bank of China (PBOC), which has intensified pressure on digital asset firms operating in or near the mainland.

Regulatory Milestone Unlocked

After passing the Hong Kong Stock Exchange (HKEX) listing hearing successfully, marking a regulatory milestone, the company moved on with its most anticipated initial public offering (IPO). The listing committee’s approval, which was made public via a Post-Hearing Information Pack, indicates that HashKey is now eligible to proceed toward a public listing under Hong Kong’s regulatory framework.

The listing hearing further underscores Hong Kong’s broader push to encourage a compliant, safe, and regulated cryptocurrency ecosystem, a timely move given regulatory pressure on digital assets from mainland China.

Although the company did not officially disclose a final offering size or timing in its filing, the $500 million target reflects market expectations and aims to support HashKey’s plans for infrastructure upgrades, global expansion, and product development.

On Monday, in a separate announcement, HashKey revealed that it has appointed JPMorgan and Guotai Junan Securities to act as sponsors for its highly anticipated IPO, underscoring the company’s focus on securing strong institutional backing as it prepares to enter public markets.

IPO Proceeds to Fuel Expansion and Institutional Services

With the IPO, HashKey is set to join rival crypto exchange OSL as one of the few publicly listed digital-asset platforms in Hong Kong.

Given HKEX clearance, HashKey is now likely to enter the next steps of the IPO process, which include prospectus registration, book-building, and price setting, bringing it closer to becoming one of the first regulated crypto-exchange operators to list publicly in Hong Kong and also the largest cryptocurrency exchange platform in the region.

After clearing its IPO hearing with the Hong Kong Stock Exchange (HKEX), Hashkey announced that proceeds from the listings will be directed towards upgrading its technological infrastructure, enhancing product research and development, strengthening risk-management systems, and supporting broader market expansion.

The company emphasized that these investments will help scale trading and custody operations, improve security frameworks, and enable a faster rollout of digital asset banking solutions for both institutional and retail customers.

In a move to target institutional demand, HashKey also launched a $500 million perpetual fund designed for digital-asset treasury investments. The fund aims to focus on high-liquidity ecosystems such as Ethereum, providing large organizations with access to digital assets while maintaining compliance and operational oversight.

HashKey Records Net Losses in 2025

Despite these strategic advancements, HashKey reported a net loss of HK$506.7 million ($65 million) in the first half of 2025, a decline from the previous year’s earnings of HK$772.6 million ($99.2 million) recorded within the same period.

According to the management, the continued losses stem from substantial upfront investment to build a compliant and scalable platform within Hong Kong’s regulatory environment. The company maintains that these losses are part of HashKey’s long-term strategy.

“Our net losses and operating cash outflows during the Track Record Period primarily reflect the nature of our business development cycle and the substantial upfront investments required to establish a licensed, compliant, and scalable digital asset platform,” the company said.

Hashkey has been focused on expanding digital-asset infrastructure globally, revealing the company as a compliant alternative to offshore exchanges. The company was among the first cryptocurrency exchanges to receive approval under Hong Kong’s Virtual Asset Trading Platform (VATP), giving it the legal foundation to operate spot trading, custody, and token listing services under the direct oversight of the Securities and Futures Commission.

Building on its success in Hong Kong, the company has extended its operations to multiple international markets, securing regulatory approvals in Bermuda (April 2024), Ireland in January 2025, and the United Arab Emirates in May 2025, among others. These milestones reflect HashKey’s ambition to offer regulated, institutional-grade digital-asset services across key financial hubs while maintaining compliance with local regulatory frameworks.

While Hong Kong advances on crypto adoption, China’s Central Bank has recently reiterated its strict stance against virtual assets, stating that they are not legal tender in the country and they are excluded from China’s financial system. The reminder highlights the policy divide between the two regions.

Conclusion

HashKey’s HKEX green light reflects the exchange’s resilience despite a quite turbulent market. As Hong Kong strengthens its ambition to become the region’s premier crypto hub, standing in stark contrast to mainland China’s ongoing crackdown, HashKey’s potential IPO represents more than a corporate milestone. It signals Hong Kong’s commitment to fostering a regulated, institution-friendly infrastructure capable of attracting global capital and competing with major offshore markets.

While market volatility and consecutive annual losses highlight near-term challenges, HashKey’s expanding international footprint, strengthened compliance framework, and major investments in infrastructure and product innovation point toward a long-term growth strategy aligned with growing institutional demand.

If successful, the IPO could act as a catalyst for broader adoption of regulated digital-asset services across Asia, setting a precedent for how crypto-finance companies navigate both opportunity and oversight.

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