Investment Rating - The report does not explicitly state an investment rating for the industry Core Insights - The global virtual asset licensing system has essentially taken shape, with a systematic regional regulatory framework established [3] - Different regions exhibit variations in virtual asset licensing, reflecting distinct regulatory logics and strategic focuses [3] - Three major collaborative trends are emerging: local currency anchoring, asset custody, and anti-money laundering compliance [3] - Licensed operators and service providers are expected to become mainstream, with regulated trading platforms and stablecoin assets presenting lower risks [3] - The licensing will serve as a significant valuation support factor, with leading companies holding core licenses enjoying first-mover advantages and competitive moats [3] Summary by Sections 01 Global Virtual Asset Licensing System - The licensing framework in Hong Kong includes a dual regulatory structure for stablecoin issuers and virtual asset service providers (VASP) [8][9] - Hong Kong's VASP license requires compliance with strict operational and auditing standards, enhancing market transparency and investor safety [10] - Singapore's regulatory approach emphasizes innovation while ensuring market safety through a clear regulatory framework [11][12] - The European MiCA framework provides comprehensive regulations for crypto assets, categorizing them into electronic money tokens, asset-referenced tokens, and utility tokens [13][14] - The U.S. regulatory landscape is characterized by a complex multi-layered system involving federal and state-level oversight [17][18] 02 Differences and Collaborations in Regional Licensing - Hong Kong's licensing system is more inclusive for retail investors compared to Singapore's cautious approach [26] - The regulatory frameworks in Hong Kong and Europe aim to provide clear guidelines to foster innovation while ensuring compliance [26] - The U.S. regulatory environment is fragmented, requiring compliance with both federal and state regulations [26] 03 Investment Recommendations - Beneficial targets include licensed firms such as Zhongyou Capital, Bank of China Hong Kong, and Coinbase Global [4] - The report highlights the importance of holding licenses as a key factor for valuation and competitive advantage in the virtual asset industry [3][4]

Group 1 - The semiconductor and domestic computing power sectors are benefiting from favorable conditions for IM and IC contracts, indicating a strong short-term trading opportunity [1][4] - The stock index has shown strong performance, with the Shanghai Composite Index reaching a high of 3555.22 points, supported by multiple factors, including the recent approval of the "Stablecoin Regulation" in Hong Kong [1][2] - The "anti-involution" sector is becoming active, with the central government's emphasis on promoting product quality and orderly competition, positively impacting various industries [2] Group 2 - The approval of the H20 chip sales to China by the U.S. is expected to alleviate previous supply restrictions, potentially leading to a recovery in the AI sector as demand increases [4] - The long-term outlook for the stock index remains optimistic, despite uncertainties surrounding U.S.-China tariffs, with expectations of improved market sentiment and potential fiscal policy support in the fall [3][4] - The stablecoin market is anticipated to grow, with the U.S. pushing for legislation that could enhance the dominance of the U.S. dollar, while the development of the RMB stablecoin is seen as inevitable, starting with trials in Hong Kong [2]

Summary of Conference Call Industry or Company Involved - The discussion primarily revolves around the blockchain industry, specifically focusing on Ant Group and its ecosystem, as well as the broader virtual asset landscape. Core Points and Arguments 1. **Ant Group's Blockchain Position**: Ant Group is highlighted as a leading player in the blockchain space, with significant market potential and development trends. The focus is on its capabilities in transaction management and material management within the blockchain ecosystem [1][2][4]. 2. **Ecosystem Strength**: The strength of Ant Group's ecosystem is emphasized, particularly its international collaborations and partnerships, which enhance its blockchain capabilities [2][5]. 3. **Traditional Internet Companies**: There is a mention of traditional internet giants in China that are quietly entering the virtual asset space, leveraging their cross-border payment capabilities and consumer-facing scenarios [6][7]. 4. **Regulatory Environment**: The evolving regulatory landscape in Hong Kong is noted, with potential for traditional cryptocurrency firms to re-enter the financial sector and possibly undergo IPOs [8][9][11]. 5. **Focus on Brokerages**: Companies like Futu and Tiger Brokers are identified as key players in the market, with their ability to obtain licenses globally being a significant advantage [12][15]. 6. **Web 3.0 Integration**: The discussion touches on the integration of blockchain technology within the Web 3.0 framework, highlighting the competitive edge of internet brokerages over traditional firms [13][14]. 7. **Market Dynamics**: The call suggests that the current market dynamics favor internet brokerages due to their established user base and trading capabilities, which are crucial in the evolving landscape of virtual assets [15][16]. Other Important but Possibly Overlooked Content 1. **Material Management Importance**: The significance of material management in Ant Group's overseas operations is underscored, indicating its critical role in the blockchain ecosystem [4][5]. 2. **Potential Collaborations**: There is an expectation of new collaborations emerging within the traditional internet sector and the cryptocurrency space, which could lead to innovative developments [6][11]. 3. **Licensing Developments**: The upcoming changes in licensing regulations are anticipated to create opportunities for various companies to enhance their operational capabilities in the blockchain sector [16][17].

Group 1: Virtual Assets in Hong Kong - Hong Kong is expected to become a global virtual asset center following the implementation of the Stablecoin Regulation, which will enhance the development of stablecoin issuance, trading, and cross-border payments [1] - Domestic securities firms' subsidiaries in Hong Kong are likely to expand their business through license upgrades, leading to new performance growth points [1] Group 2: Insurance Sector Outlook - The insurance sector is anticipated to experience a "Davis Double" effect, with performance growth and valuation recovery due to stabilized long-term interest rates alleviating pressure on insurance companies' asset allocation [2] - Current valuation levels are seen as overly reflecting the suppression of future investment returns by low interest rates, indicating potential for further valuation recovery [2] Group 3: Robotics and AI Investment Opportunities - The domestic robotics industry is undergoing positive changes, with leading manufacturers accelerating their capitalization processes, which is expected to increase overall industry capital expenditure and create a demonstration effect for future listings [3] - The recent procurement of a 124 million yuan humanoid biped robot contract signifies a significant step in the commercialization of humanoid robots, indicating that exploration in commercial scenarios is progressing [3] - Investment opportunities in "AI + Robotics" should not be limited to humanoid robots; sectors such as sensors, dexterous hands, robotic dogs, exoskeletons, and vertical applications are highlighted as having favorable competitive landscapes and continuous data validation [3]

Investment Rating - The report does not explicitly provide an investment rating for the industry or specific companies Core Insights - The Hong Kong Stablecoin Ordinance will take effect on August 1, 2024, with initial licenses expected to be limited to a single-digit number, focusing on applicants' reserve management, compliance, and technical security [1][34] - The regulatory framework for virtual assets in Hong Kong includes various license types, such as VATP licenses for trading platforms and specific licenses for stablecoin issuers, with stringent requirements [2][35] - The stablecoin supply chain is categorized into upstream (infrastructure), midstream (issuers and distributors), and downstream (application scenarios), highlighting the ecosystem's complexity and interdependencies [3][12][13] Summary by Sections 1. Hong Kong Virtual Asset Regulatory Framework - Different types of licenses are required for various players in the virtual asset space, including VATP licenses for trading platforms and upgraded licenses for existing SFC licensees [2][11] - The entry threshold for stablecoin issuers includes a paid-up capital of at least HK$25 million and compliance with quarterly audits and reserve asset regulations [10][28] 2. Stablecoin Supply Chain - The stablecoin supply chain is divided into three segments: upstream (infrastructure), midstream (issuers and distributors), and downstream (application scenarios) [3][12] - Key players in the midstream include issuers like Circle and Tether, and distributors such as licensed trading platforms and brokers [12][13] 3. Stablecoin Issuance Process - The stablecoin issuance process involves several steps, including user exchange initiation, fund custody, reserve management, and issuance of stablecoins [4][20] - Issuers maintain a 1:1 reserve mechanism to ensure stablecoin value is pegged to fiat currencies, with reserves diversified into cash and low-risk assets [19][20] 4. Profitability Models - Stablecoin issuers generate revenue primarily from interest on reserve assets, while distributors earn from transaction fees and other services [5][23] - The report highlights the clear profitability paths for stablecoin issuers and distributors, emphasizing their potential for resource integration across the supply chain [5][23] 5. Comparison with Mainland China - The report outlines the stablecoin landscape in Hong Kong and mainland China, identifying key participants and their roles within the ecosystem [14][15] - Notable players include custodians, issuers, and distributors, with a focus on the regulatory sandbox initiatives in Hong Kong [16][30] 6. Impact on Traditional Payment Systems - The emergence of stablecoins is expected to disrupt traditional payment models, offering new opportunities for payment service providers to expand their services [31] - Stablecoins may enable payment processors to access diverse payment scenarios and enhance their offerings through technology integration [31]

Investment Rating - The report maintains an optimistic outlook on the Hong Kong stock market, particularly regarding new IPOs and sectors such as new consumption and innovative pharmaceuticals [3][10]. Core Insights - The asset trading platform remains a clear direction for investment, with a focus on the expansion of various asset transactions and liquidity [3][10]. - The report highlights the positive trend in virtual assets, including stablecoins, with traditional financial institutions increasingly entering this space [3][10]. - Recent upgrades in subsidies for e-commerce and food delivery platforms are expected to benefit sectors like coffee and tea drinks, as well as advertising channels [3][10]. Industry Situation Tracking 1. Education - The Chinese education index increased by 2.47% from July 7 to July 11, outperforming major indices [11][20]. - Notable stock performances include New High Education Group rising by 24.18% and Fenbi increasing by 13.44% [11][20]. 2. Luxury Goods - The luxury goods sector faced slight pressure due to macroeconomic impacts, with notable stock movements including Samsonite up by 3.76% and Prada down by 0.99% [22][24]. 3. Coffee and Tea Drinks - The coffee sector remains highly prosperous, with significant benefits from platform subsidies, while tea drinks also see substantial gains [26][27]. - Luckin Coffee opened 373 new stores, with a focus on both first and second-tier markets [32]. 4. E-commerce and Internet - The Hang Seng Internet Technology Index saw a slight increase of 0.18%, with stocks like Beike and Dingdong rising by 6.34% and 3.85% respectively [31][36]. - The competition in the e-commerce sector remains fierce, with significant subsidy initiatives impacting profitability [31][38]. 5. Streaming Platforms - The Hang Seng Media Index rose by 2.2%, with stocks like NetEase Cloud Music and iQIYI showing positive performance [37][42]. 6. Virtual Assets & Internet Brokers - The global cryptocurrency market capitalization reached $374.04 billion, with Bitcoin and Ethereum prices increasing by 8.8% and 17.9% respectively [41][43]. - The report emphasizes the ongoing development of regulatory frameworks for virtual assets in both the US and Hong Kong [48].

过去几年，香港的虚拟资产行业经历了从无到有、从探索到逐 步走向规范的过程。正如HashKey Group首席分析师丁肇飞 在接受经济观察报记者采访时所言，过去几年不仅对虚拟资产 交易平台是重要的发展节点，也是整个行业从探索走向制度化 的重要转折点。 作者： 老盈盈 封图：图虫创意 截至7月10日，香港证券及期货事务监察委员会（下称"香港证监会"）官网显示，通过综合账户安 排提供虚拟资产交易服务的获批机构已达到42家。 7月7日，国金证券（600109.SH）在上证e互动平台表示，公司旗下的国金证券（香港）有限公司 正在筹备申请虚拟资产相关交易牌照，并与国际及香港地区具有丰富经验的相关机构就该事项进行 了多次接触，后续将积极推进具体申请事宜。 6月26日，香港特区政府发布了《香港数字资产发展政策宣言2.0》（下称《宣言2.0》），再次重 申了港府坚定建设香港成为全球领先的数字资产中心的愿景。《宣言》发布后，香港资本市场上一 些虚拟资产的概念股股价出现不同程度的上涨。 过去几年，香港的虚拟资产行业经历了从无到有、从探索到逐步走向规范的过程。正如HashKey Group首席分析师丁肇飞在接受经济观察报记者采访时所 ...

Core Insights - As of July 10, 2023, the Hong Kong Securities and Futures Commission (SFC) has approved 42 institutions to provide virtual asset trading services through comprehensive account arrangements [2] - On July 7, Guojin Securities announced its plans to apply for a virtual asset trading license through its Hong Kong subsidiary, indicating a growing interest in the virtual asset sector [2] - The Hong Kong government released the "Hong Kong Digital Asset Development Policy Declaration 2.0" on June 26, reaffirming its commitment to establishing Hong Kong as a global digital asset hub, which has positively impacted the stock prices of related concept stocks [2] Industry Overview - The virtual asset industry in Hong Kong has evolved from non-existence to a regulated environment over the past few years, marking a significant transition towards institutionalization [2][3] - The SFC categorizes virtual asset-related businesses into five types, with a focus on virtual asset trading platform licenses (VATP) and comprehensive account arrangements [4] - Currently, 11 institutions hold VATP licenses, while 42 financial institutions have been approved to provide virtual asset trading services through comprehensive account arrangements [4] Regulatory Developments - The upgrade of the 1st category license allows licensed brokers to offer virtual asset trading services, but they must connect to licensed virtual asset trading platforms for execution [5] - The recent upgrade has enabled brokers like Futu Securities to provide a one-stop trading experience for various asset classes, including cryptocurrencies [5][8] - The "LEAP" development framework introduced in the Declaration 2.0 outlines strategies for optimizing legal and regulatory frameworks, expanding tokenized product offerings, and promoting cross-sector collaboration [11] Market Dynamics - HashKey Exchange has partnered with traditional financial institutions to integrate virtual assets into the mainstream financial system, focusing on compliance and risk management [7] - The revenue model for virtual asset trading platforms includes transaction fees and a range of services for institutional clients, ensuring stable income streams [9] - Futu Securities has launched features to facilitate cryptocurrency transactions, enhancing the investment options available to clients [8] Future Outlook - The SFC has set a timeline for the implementation of a licensing system for stablecoin activities, with the regulation expected to take effect on August 1, 2025 [12] - HashKey Group is actively engaging with stablecoin issuers to promote compliance and integration within the virtual asset ecosystem [12]

市场消息：加纳要求虚拟资产公司在8月15日前完成注册。 ...

Macro Strategy - The report emphasizes the strategic significance of stablecoin policies and the potential opportunities in the cryptocurrency market, particularly in Hong Kong [1][6][8]. Regulation of Cryptocurrency Assets in Hong Kong - The regulation of virtual asset trading licenses has become a core catalyst for brokerages in Hong Kong, with Guotai Junan International being one of the first to receive approval for comprehensive virtual asset trading services, leading to significant stock price fluctuations [12][9]. - The report outlines various types of intermediaries involved in digital asset activities, including virtual asset trading platform operators and fund managers, highlighting the regulatory framework established by the Hong Kong Securities and Futures Commission [17][21]. Classification of Digital Tokens - Digital tokens are classified based on their use and function, including payment tokens, security tokens, utility tokens, native tokens, asset-backed tokens, and platform tokens, providing a comprehensive framework for understanding the market [30][31]. Catalysts for Cryptocurrency - The report identifies several potential catalysts for the cryptocurrency market, including the increasing adoption of digital assets by institutional investors and the ongoing development of regulatory frameworks that support innovation while ensuring financial stability [12][40]. Bitcoin Characteristics and Investment Cycle - Bitcoin has shown a remarkable price performance, reaching historical highs and attracting significant attention from institutional investors, who view it as a potential digital gold and reserve asset [77][89]. - The report discusses Bitcoin's halving mechanism, which historically leads to significant price increases approximately 18 months after each halving event, indicating a cyclical investment opportunity [89]. Tokenization of Real-World Assets (RWA) - The report highlights the growing trend of asset tokenization, with over $24 billion in various RWA assets currently held on-chain, indicating a strong demand for innovative financial products in emerging markets [35][40]. - Predictions suggest that the market for tokenized assets could reach $187 trillion by 2030, with significant portions of traditional assets being tokenized to enhance liquidity and transparency [36][40]. Stablecoin Developments - The report compares Hong Kong's stablecoin regulations with the U.S. GENIUS Act, noting that Hong Kong's framework supports multi-currency stablecoins while the U.S. focuses solely on dollar-pegged stablecoins [46][48]. - The increasing importance of stablecoins in facilitating cross-border payments and their potential to enhance the reserve currency status of local currencies are emphasized [56][49]. Digital Asset Industry Trends - The report outlines various applications of blockchain technology, including the development of stablecoins and the tokenization of traditional financial assets, indicating a shift towards integrating digital assets into mainstream finance [68][66]. - The ongoing exploration of use cases for digital assets, particularly in cross-border payments and supply chain financing, reflects the industry's innovative potential [68][66].