HashKey Holdings (3887.HK), the Hong Kong-listed crypto exchange, published its first full-year earnings since going public on March 27. Revenue reached HK$723 million, up 0.3% year-on-year, while net loss narrowed 8.8% to HK$1.084 billion. However, adjusted loss widened from HK$545 million to HK$736 million, hit by a HK$953 million fair value loss on digital assets. The stock fell over 10% after the release, dropping to HK$3.88 from a high of HK$7.98.
Stablecoin Trades Hit 48%, Retail Volume Collapses 80%
Influencer 'Lin Wanwan' criticized the results on social media, pointing out that stablecoin trading now accounts for 48% of all trades on HashKey. "Half of the users are not speculating — they use the platform for compliant fiat on/off-ramp and currency exchange," she said. She labeled the firm a 'Crypto version of a forex exchange (OTC)' rather than a traditional exchange. Data backs her view: retail trading volume plunged 80% from HK$353 billion to HK$73.4 billion. Meanwhile, institutional clients dominate, with transaction facilitation services (exchange and OTC) contributing 72% of revenue on total turnover of HK$590.8 billion.
AUM Peaked Over HK$20B, Can Spend-and-Grow Strategy Turn Profitable?
HashKey reported assets under management peaked above HK$20 billion, but operational costs remain heavy. The company's outlook focuses on RWA tokenization, on-chain infrastructure, and AI applications under a global compliance push. Yet Lin noted that despite HashKey being the most aggressive player in Hong Kong across RWA, fund licenses, and stablecoins, its own capacity to drive change has reached a limit. Future growth depends heavily on macro improvement. For investors, the key challenge is balancing expansion spending with a path to profitability — a test for 'Hong Kong's first crypto stock.'