The momentum behind stablecoin-related equities continues to capture investor attention across Chinese markets — but signs of divergence are emerging.
On July 3, shares of DMALL (02586.HK), a Hong Kong-listed retail tech company, surged nearly 90% intraday after market rumors suggested it was preparing to apply for a stablecoin license in Hong Kong. Though the rally cooled by market close — ending up 23.64% at HK$11.14 — the move underscored growing market enthusiasm around digital asset regulation and real-world applications of blockchain technology. The stock’s market capitalization briefly crossed HK$10 billion during trading.
This surge coincided with broader gains across stablecoin-linked stocks in both mainland China and Hong Kong. Victory Securities (08540.HK) and Guotai Junan International (01788.HK) both rose over 10%, while on the A-share side, Jin Yi Culture (002721.SZ) hit the daily limit-up, and Jingbei North (002987.SZ) gained nearly 8%. Other names like Hengbao Co. (002104.SZ) and Chutianlong (003040.SZ) added more than 4%.
👉 Discover how digital asset regulations are reshaping investment opportunities in Asia.
DMALL’s Strategic Move Into Stablecoins
DMALL, officially known as Dmall Inc., is a leading provider of digital transformation solutions for retailers across China and Asia. Founded in 2015 and listed on the Hong Kong Stock Exchange in December 2024, the company has increasingly signaled interest in Web3 and blockchain integration.
According to Tang Yifan, DMALL’s Vice President and CFO, the firm has already acquired Bitcoin through HashKey Exchange and is actively recruiting talent in the Web3 space. The company sees stablecoins as a strategic tool to enhance cross-border payment efficiency for its retail clients, reduce transaction costs, and improve customer experience — aligning with the global trend of crypto adoption in commerce.
While DMALL has not yet submitted a formal application, its public confirmation of preparatory work for a Hong Kong stablecoin license has sparked significant market reaction.
Hong Kong’s Regulatory Framework Accelerates Market Confidence
The timing of this development is no coincidence. In May 2025, the Hong Kong Legislative Council passed the Stablecoin Ordinance Bill, establishing the region's first comprehensive regulatory framework for stablecoin issuers. The ordinance is set to take effect on August 1, 2025, at which point the Hong Kong Monetary Authority (HKMA) will begin accepting license applications.
Concurrently, the Financial Services and Treasury Bureau released Hong Kong Digital Asset Development Policy Statement 2.0 on June 26, outlining plans to optimize regulation, expand product offerings, promote real-world use cases, and strengthen talent development.
This policy shift marks a pivotal transition — from experimental pilot programs to full-scale implementation of digital asset infrastructure. As noted by CITIC Construction Investment Research, the updated policy expands focus beyond cryptocurrencies to include real-world asset tokenization (RWA) and stablecoin ecosystems, signaling strong institutional support for long-term growth.
Guotai Junan International: From Licensing to Market Surge
Another key player benefiting from regulatory progress is Guotai Junan International (01788.HK). On June 24, it received approval from the Securities and Futures Commission (SFC) to upgrade its securities trading license to include virtual asset services — allowing clients to trade major cryptocurrencies and stablecoins such as USDT directly on its platform.
The market responded aggressively: shares jumped 198.39% on June 25 and reached an all-time high of HK$7.02 two days later. By July 3, the stock had gained over 250% year-to-date — one of the strongest performances among financial firms in Hong Kong.
This illustrates a broader trend: companies with verifiable progress in licensing or strategic alignment with digital assets are seeing tangible valuation uplifts.
A-Share Market: Enthusiasm Meets Reality Check
In contrast, the A-share market presents a more fragmented picture. While some firms like Jingbei North and Jin Yi Culture have legitimate exposure to digital currency ecosystems, others appear to be riding speculative waves without fundamental backing.
Jingbei North, for example, confirmed in an investor briefing that it has deep experience in China’s digital RMB ecosystem — particularly in system development and application rollout. Given the structural similarities between central bank digital currencies (CBDCs) and private stablecoins — especially regarding issuance layers, distribution channels, and end-user applications — the company believes its expertise is highly transferable.
“We remain open-minded,” the company stated, “and are actively exploring collaboration opportunities with major state-owned banks and other financial institutions regarding potential stablecoin use cases.”
However, not all rally stories hold up under scrutiny.
Market Divergence Emerges: Speculation vs. Substance
One notable case is G&D Technology (Yuyin Shares, 002177.SZ), which saw its stock plummet 9.83% on July 3 — hitting the intraday limit-down — despite earlier gains that pushed its year-to-date return above 65%. The sharp reversal came amid high turnover (50.3%) and heavy institutional selling.
Crucially, G&D Technology has repeatedly clarified it has no involvement in stablecoins or digital currencies. As recently as June 6, it stated clearly on the Shenzhen Stock Exchange’s interactive platform that its core business revolves around intelligent financial equipment and industrial park operations.
Lack of fundamentals didn’t stop retail investors from piling in earlier — data shows “Lasa Tuan” retail trader groups dominated the buy side on July 3, purchasing over HK$122 million collectively. Meanwhile, major sell-offs came from institutional desks and active trading firms.
This pattern highlights a critical risk: while regulatory tailwinds benefit genuinely positioned players, speculative momentum can quickly reverse when reality sets in.
👉 See how real-world asset tokenization is unlocking new financial frontiers.
Core Keywords Driving Market Sentiment
The current surge in stablecoin-related equities revolves around several high-impact keywords:
- Stablecoin
- Hong Kong digital asset policy
- Real-world asset tokenization (RWA)
- Blockchain payments
- Digital currency infrastructure
- Web3 recruitment
- Crypto licensing
- Retail fintech innovation
These terms reflect both technological advancement and regulatory maturation — two pillars fueling investor confidence.
Frequently Asked Questions (FAQ)
Q: What is a stablecoin?
A: A stablecoin is a type of cryptocurrency designed to maintain a stable value by being pegged to an underlying asset — typically fiat currencies like the USD or EUR, but also commodities or other crypto assets. They combine blockchain efficiency with price stability.
Q: Why is Hong Kong introducing a stablecoin license?
A: To establish legal clarity, protect investors, prevent money laundering, and position Hong Kong as a global hub for responsible digital finance innovation. The new framework aims to attract compliant issuers while ensuring financial stability.
Q: Can mainland Chinese companies issue stablecoins under current rules?
A: No. Mainland China bans private cryptocurrency issuance. However, firms can explore offshore opportunities or contribute to domestic CBDC (e.g., digital yuan) development through technology partnerships.
Q: Is DMALL officially licensed to issue stablecoins yet?
A: Not yet. DMALL has announced it is preparing an application but has not received approval from the HKMA. Its current actions are preparatory in nature.
Q: How does RWA relate to stablecoins?
A: Real-world asset tokenization often relies on stablecoins for settlement. For example, tokenized real estate or bonds may be bought using USD-backed stablecoins on blockchain platforms, enabling faster, transparent transactions.
Q: Should investors buy into stablecoin概念股 (concept stocks)?
A: With caution. While policy trends are favorable, many listed firms lack direct exposure. Focus on companies with clear strategies, regulatory progress, or proven tech integration in blockchain or digital payments.
Final Outlook: Separating Hype from Value
As Hong Kong moves toward formal stablecoin regulation, genuine innovators stand to gain first-mover advantages. Companies like DMALL and Guotai Junan International are making measurable strides — investing in talent, acquiring crypto assets, and aligning with regulatory timelines.
Meanwhile, A-share markets show increasing polarization. Stocks with credible digital currency ties continue to attract interest, but those lacking substance face rapid corrections once speculation fades.
For investors, the key takeaway is clear: look beyond headlines. Verify business models, assess regulatory engagement, and prioritize firms building actual infrastructure — not just riding buzzwords.
👉 Stay ahead of the next wave in blockchain finance — explore regulated digital asset platforms today.