HashKey's lukewarm debut tests Hong Kong's ambitions as digital asset hub

Shares of HashKey Holdings, relation of Hong Kong's largest licensed cryptocurrency exchange, fluctuated connected their trading debut, arsenic investors shunned hazard amid a downturn successful some equity and integer plus markets.

Trading nether the banal codification 3887, HashKey shares archetypal changed hands connected Wednesday astatine HK$6.70, oregon 0.3 per cent supra the connection terms of HK$6.68 a share. The banal roseate arsenic overmuch arsenic 6.6 per cent earlier trading 1.1 per cent little astatine HK$6.61 astatine 10.30am.

The firm, 1 of 11 licensed virtual plus trading platforms successful Hong Kong, raised HK$1.6 cardinal (US$206 million) successful the city's archetypal crypto-native archetypal nationalist offering (IPO). OSL Group, different licensed crypto speech relation formerly known arsenic BC Technology, was listed successful Hong Kong successful 2012, agelong earlier it pivoted into integer assets.

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"Today's palmy trading connected the Hong Kong banal speech proves that taking a compliant way tin besides pb to success," said HashKey president and CEO Xiao Feng, earlier striking a ceremonial gong to people the commencement of trading. "I judge that, successful the agelong run, pursuing a compliant way really gives a institution greater longevity and much sustainable vitality."

HashKey, founded successful 2018, offers crypto transaction facilitation, arsenic good arsenic on-chain, plus absorption and tokenisation services. Photo: Images/LightRocket via Getty Images alt=HashKey, founded successful 2018, offers crypto transaction facilitation, arsenic good arsenic on-chain, plus absorption and tokenisation services. Photo: Images/LightRocket via Getty Images>

The debut comes arsenic bitcoin, the largest cryptocurrency, sinks deeper into bear-market territory amid a broader risk-off displacement driven by an uncertain interest-rate trajectory, profit-taking aft grounds marketplace highs and cascading liquidations of leveraged positions.

The broader banal marketplace successful Hong Kong fell to its lowest level successful 3 weeks connected Tuesday arsenic investors were acrophobic astatine China's deteriorating maturation prospects and the US Federal Reserve's interest-rate path.

While acknowledging the short-term volatility successful cryptocurrencies, Xiao said helium was beauteous assured successful the prospects of the digital-asset industry. "I'm adjacent much optimistic present than I was a decennary ago, arsenic we're seeing caller authorities and clearer compliance standards being introduced, which volition assistance the manufacture determination guardant sustainably."