Core Viewpoint - New City Development Holdings Limited is actively transforming into the digital asset sector, focusing on Real World Assets (RWA) and establishing a digital asset research institute to enhance its business model and capitalize on market opportunities [1][2][3] Group 1: Strategic Moves - On September 1, New City Development announced a share issuance to Blockchain Metaverse Academy Pty Ltd at approximately HKD 2.58 per share, raising about HKD 49.4 million for RWA strategic deployment [1] - The company aims to leverage its partnership with Blockchain Metaverse Academy to reduce risks and costs associated with exploring RWA applications, thereby increasing innovation speed and efficiency [1][3] Group 2: Digital Asset Research Institute - The newly established digital asset research institute will monitor domestic and international policy changes and technological trends, providing strategic guidance for the company's digital business [2][3] - The institute's focus includes integrating quality IP resources with RWA, indicating a clear operational path and defined objectives [3] Group 3: Business Development Plans - New City Development plans to launch three main business initiatives: issuing NFTs based on its unique IP, tokenizing asset revenues from its shopping centers, and exploring the tokenization of financial assets like convertible bonds [3] - The company anticipates that once all 200+ shopping centers are operational, annual merchant sales could reach HKD 150 billion, contributing significantly to its cash flow [3] Group 4: Market Context and Challenges - The digital economy's growth has prompted many companies to enter the blockchain and NFT space, but success varies widely, with some efforts seen as mere market management tactics [4] - New City Development is not the first real estate company to venture into digital assets, with competitors like Greenland Group already making strides in the sector [5][6] Group 5: Financial Implications - The initial fundraising of HKD 49.4 million is modest and will primarily support research and platform development, with significant financial contributions expected in the long term if the strategy is successful [7] - Following the announcement of its digital asset initiatives, New City Development's stock experienced a brief increase, reflecting market optimism about its transformation efforts [7]