SINOHOPE TECH (01611) saw its stock price surge by 28.65% during intraday trading on Monday, significantly outperforming the broader market. This dramatic rise comes as Hong Kong-listed stablecoin concept stocks experienced a notable uptick following a key regulatory development.
The rally in SINOHOPE TECH's shares is part of a broader trend among stablecoin-related stocks in Hong Kong. Other companies in the sector also saw significant gains, with Lianlian DigiTech jumping 62%, OKG Tech rising 33%, and OSL Group increasing by 5%. This sector-wide movement suggests strong investor confidence in the future of stablecoin-related businesses in the region.
The catalyst for this market enthusiasm appears to be the Hong Kong Special Administrative Region's publication of the Stablecoin Regulation in the Gazette on May 30, officially enacting it into law. This follows the Legislative Council of Hong Kong's passage of a bill on May 21 to establish a licensing regime for issuers of 'fiat-referenced stablecoins'. The new regulation aims to promote financial innovation while safeguarding financial stability, marking a significant step forward for Hong Kong in the digital asset space. Investors seem to be betting that companies like SINOHOPE TECH are well-positioned to benefit from this regulatory clarity in the burgeoning stablecoin market.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.