Core Viewpoint - The legalization of stablecoins in Hong Kong is driving the continuous expansion of the stablecoin industry chain, with RWA (Real World Assets) issuers, consulting/technical support service providers, and cross-border payment companies being the primary beneficiaries [1] Group 1: Opportunities and Challenges in RWA - The global market size of on-chain RWA assets reached $24.83 billion as of July 6, 2025 [1] - Opportunities include physical assets like computing centers and parking lot revenue rights, financial products such as commercial paper and credit bonds, and intangible assets like intellectual property [1] - Challenges include unclear regulatory details for mainland companies' RWA asset rights in Hong Kong, the limitations of private placement methods for RWA, and issues related to market liquidity and future revenue rights for intangible asset RWAs [1] Group 2: Traditional Financial Institutions' Participation - Traditional financial products are accelerating the tokenization process, with HSBC and Huaxia Bank launching tokenized products in 2025 [2] - Opportunities exist for banks, securities, and fund companies to leverage their existing customer bases to enter the stablecoin issuance, custody, and digital asset trading services [2] - Challenges include potential impacts on traditional banking operations and the uncertainty surrounding the implementation of the stablecoin legislation in Hong Kong [2] Group 3: Stablecoin Applications in Cross-Border Payments - Stablecoins are expected to enhance efficiency and reduce costs in cross-border payment scenarios, with transaction fees ranging from $0.5 to $5 and exchange costs at about 0.1% of the transaction amount [3] - Opportunities for cross-border payment companies to engage in stablecoin issuance, trading, and market-making roles [3] - Challenges include the inability for enterprises to enjoy export tax refund policies and financing policies when using stablecoins for cross-border payments [3] Group 4: Investment Recommendations - Focus on RWA projects that have been implemented in Hong Kong and companies that can provide platform services or have new asset tokenization opportunities [4] - Financial IT companies that can participate in the construction of stablecoin-related systems for financial institutions are also recommended [4] - Payment IT companies that can launch stablecoin-related services to enhance overseas transaction volumes and fee rates should be considered [4]