Core Viewpoint - The introduction of the Digital Asset PARITY Act aims to clarify the U.S. tax code regarding digital assets, addressing various aspects of taxation and regulation in the digital asset space [1]. Tax Code Refinements - The Digital Asset PARITY Act seeks to refine the Internal Revenue Code of 1986 with specific provisions for digital assets [4]. - Key provisions include: - **Stablecoin Treatment**: Gains or losses on regulated payment stablecoin transactions will be eliminated if the price deviation from the dollar peg is within 1% [4]. - **Foreign Safe Harbor**: Extends existing safe harbor provisions for foreign investors to digital assets, ensuring trades within U.S. accounts of foreign investors are not subject to U.S. tax [4]. - **Lending Treatment**: Taxpayers will not recognize capital gains or losses when transferring digital assets under lending agreements, similar to securities [4]. - **Wash Trading Treatment**: Wash trading prohibitions will be extended to all digital assets, not just stocks or securities [4]. - **Staking Tax Treatment**: Allows "passive stakers" to defer tax consequences on income earned from staking digital assets [4]. Industry Opposition - The Bitcoin Policy Institute (BPI) opposes the staking tax provisions, arguing that the act favors proof-of-stake networks and lacks technological neutrality regarding proof-of-work networks like Bitcoin [3][4].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公佈的內容概不負 責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因本公佈全部 或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 Asset Chain Limited 財富鏈有限公司 (於百慕達註冊成立之有限公司) (股份代號: 616) 自願公佈 有關訂立諒解備忘錄 的最新資料 本公佈乃由財富鏈有限公司（「本公司」，連同其附屬公司統稱「本集團」）自願作出， 以 就 本 集 團 業 務 發 展 向 本 公 司 股 東（「股 東」）及 潛 在 投 資 者 提 供 最 新 資 料。 謹提述日期為2025年12月24日 的 本 公 司 公 佈（「該公佈」），內 容 有 關 就 認 購 合 營 公 司 股 份 而 訂 立 諒 解 備 忘 錄。除 另 有 說 明 外，本 公 佈 所 用 詞 彙 與 該 公 佈 所 界 定 者 具有相同涵義。 誠 如 該 公 佈 所 載，根 據 諒 解 備 忘 錄，本 公 司 與 其 他 潛 在 認 購 方 擬 認 購 合 營 公 司 的股份，而預期該公司的主要業務為發展及╱或投資穩定幣及╱或其他區塊鏈相 ...

Core Viewpoint - Stablecoins, as a significant form of virtual currency, are posing challenges to financial order due to their technical characteristics and application anomalies. The majority of stablecoin transactions are not backed by actual payment scenarios, with less than 1% of transactions having real payment backgrounds [3][4]. Group 1: Stablecoin Transaction Analysis - In 2025, the global on-chain transaction volume of stablecoins is estimated to be approximately $25 trillion, with less than 1% of this volume representing actual payment transactions [3][4]. - The majority of stablecoin transactions consist of three types of "watered-down transactions": internal fund transfers within institutions, on-chain protocol splits, and stablecoins used as intermediary currencies for virtual currency speculation [3][4]. - Internal fund transfer transactions refer to the movement of stablecoins within different wallets or protocols of the same institution, which do not represent genuine market transactions [4]. Group 2: On-Chain Protocol Splits - On-chain protocol splits occur when a single transaction triggers multiple internal calls and fund transfers, significantly inflating the on-chain transaction volume. For instance, during the exchange of stablecoins for virtual currencies, funds may be split across multiple intermediary addresses to achieve optimal pricing, leading to repeated counting of the same funds [4]. Group 3: Speculative Use of Stablecoins - Stablecoins are primarily used as intermediary currencies for speculative trading, where traders frequently exchange one virtual currency for stablecoins and then use stablecoins to purchase another virtual currency, resulting in the same funds being counted multiple times [4]. Group 4: Real Payment Applications - The actual application of stablecoins in real payment scenarios is minimal, with major virtual currency payment institutions like Coinbase, BVNK, Bitpay, and Binance providing stablecoin payment services for businesses and consumers. In 2025, 15 leading virtual currency payment institutions processed $132 billion in stablecoin transactions, while international card organizations like Visa processed $4.5 billion in stablecoin-related transactions [4].

Investment Rating - The report assigns an "Outperform" rating to several companies in the virtual asset sector, including Robinhood, Coinbase, Futu Holdings, UP Fintech Holding, and HashKey Holdings, with target prices set at 154.00, 288.00, 233.00, 17.20, and 8.80 respectively [1]. Core Insights - The virtual asset sector is expected to experience short-term volatility due to fluctuations in cryptocurrency prices and performance pressures, but the long-term growth logic remains clear. Regulatory easing is anticipated to open up business opportunities, and companies within the sector are diversifying their revenue structures, which could lead to improved gross margins [2][3]. - The report emphasizes the importance of focusing on high-quality targets with strong compliance barriers and diversified revenue streams, while dynamically optimizing positions based on market volatility and regulatory developments [2][3]. Summary by Sections 1. Stablecoin Industry Chain - The stablecoin industry can be divided into primary market issuance and custody, secondary market circulation (involving licensed trading platforms, brokers, and liquidity providers), and application scenarios primarily focused on trading and payments [7][10]. - Issuers earn interest income from reserve assets, while distributors, including trading platforms and brokers, generate revenue through transaction commissions [10][17]. 2. Valuation and Recommendations - The report highlights the significant discount of Chinese internet brokers (Futu, Tiger Brokers) compared to their US counterparts, making them attractive investment options. Futu is noted for its leading position in the internet brokerage space and strong competitive advantages in digital asset layout [3]. - HashKey is recommended due to its expected revenue CAGR of 68% from 2025 to 2027, benefiting from regulatory easing and product expansion [3]. 3. Market Trends - The report identifies a trend towards the mainstream adoption of digital assets, with financial activities migrating to blockchain platforms. The regulatory framework for digital assets is becoming clearer, and trading activities are expected to increasingly shift towards licensed onshore platforms [6][19]. - The report anticipates that institutional players will dominate digital asset trading volumes, with Hong Kong expected to lead in growth due to regulatory advancements [6][19]. 4. Company Analysis - Circle, a leading stablecoin issuer, derives 95% of its revenue from reserve asset income, highlighting the sensitivity of its business model to interest rates and the liquidity of USDC [29][32]. - The report outlines the revenue structure of Circle, noting concerns about its reliance on Coinbase for distribution and the impact of high distribution costs on profitability [29][35]. 5. Application Scenarios - The primary application scenarios for stablecoins are in cryptocurrency trading and cross-border payments, with trading accounting for 67% and remittances for 15% of stablecoin usage [19][22]. - The report emphasizes the growing importance of B2B payments in the stablecoin payment landscape, with significant growth expected in this area [22][23].

Group 1 - The CEO of Royal Bank of Canada, McKay, stated that stablecoins have limited problem-solving capabilities in domestic transactions [1] - The comments reflect a cautious stance on the role of stablecoins in the Canadian financial ecosystem [1] - The bank's leadership emphasizes the need for a thorough understanding of the implications of stablecoin usage [1] Group 2 - The discussion highlights the broader context of cryptocurrency regulation and its impact on traditional banking [1] - There is an ongoing debate about the integration of digital currencies into existing financial systems [1] - The bank is likely to continue monitoring developments in the stablecoin space to assess potential opportunities and challenges [1]

Core Viewpoint - The cryptocurrency industry is transitioning from being a regulatory target to becoming a financial participant, with companies like Coinbase evolving into new financial infrastructures rather than merely operating within the crypto space [3][4][7]. Regulatory Environment - The biggest variable affecting the cryptocurrency industry in recent years has been the regulatory landscape, with significant legal battles, such as the one between Coinbase and the SEC, impacting valuations and compliance costs [5][6]. - Since 2026, there has been a notable and irreversible shift in the policy environment, moving from restriction to competition, as the U.S. government recognizes the strategic importance of crypto assets [7][8]. Market Dynamics - Following the clarification of policies, Coinbase's stock price surged by 16% in a single day, indicating a market reevaluation of the competitive landscape in finance, where traditional banks are now seen as vulnerable to technological disruption [8][9]. - The shift in perception is leading to a reclassification of crypto companies from high-risk entities to growth stocks representing new financial infrastructures [8][9]. Coinbase's Strategic Shift - Coinbase's launch of stock trading functionality signifies a strategic transformation, aiming to become a next-generation brokerage that integrates various asset classes into a single platform [10][11]. - This approach addresses the fragmentation in financial asset trading, allowing users to manage different asset types seamlessly within a unified digital account [11][12]. User Base Expansion - By introducing stock trading, Coinbase is expanding its target customer base beyond crypto investors to include traditional savers, retirement account holders, and institutional investors, which could lead to exponential growth in assets under management (AUM) [13][14]. - The shift in revenue model from transaction fees to stable income from asset retention and value-added services reflects a significant change in Coinbase's business strategy [13][14]. Future of Financial Services - The entry of Coinbase into stock trading raises questions about the future of financial gateways, as traditional brokers and banks face competition from crypto companies that leverage blockchain technology for enhanced efficiency [15][16]. - The potential for a digital financial operating system that integrates various asset classes and facilitates 24/7 trading and cross-border transactions could redefine the financial landscape [15][16]. Conclusion - Coinbase's move to offer stock trading is not just a product update but a reflection of the diminishing boundaries in finance, signaling a shift from confrontation to integration within the financial ecosystem [20][21]. - This evolution indicates that the future financial world may not distinguish between "crypto" and "traditional" but will focus on efficiency, with Coinbase positioning itself as a leader in this new paradigm [20][21].

Market Overview - Over the last 24 hours, more than 120,000 individuals in the cryptocurrency market experienced liquidation, with a total liquidation amount reaching $594 million [3] Regulatory Developments - U.S. President Trump indicated that the first regulatory framework for stablecoin issuance, the "GENIUS Act," is facing threats and weakening from the banking sector, urging Congress to expedite the passage of the cryptocurrency market structure bill [4] Bitcoin Market Dynamics - During Bitcoin's recent consolidation in the $60,000 to $70,000 range, over 400,000 BTC have been absorbed, indicating strong support below the current price level [5] - The premium on Coinbase has risen to $61, suggesting significant institutional buying interest entering the market in the U.S. [5]

Core Insights - Barclays Plc is exploring the development of a blockchain-based banking platform to handle payment processes, potentially including stablecoins and tokenized deposits, with a goal to finalize partnerships by April [1] Group 1: Industry Trends - The rapid growth of stablecoins in the payment sector is notable, with projections indicating that transaction volumes could exceed $50 trillion by 2030 [1] - Banks are accelerating their adoption of related technologies to maintain their core business in light of the evolving payment landscape [1] Group 2: Competitive Landscape - JPMorgan has already launched JPM Coin for institutional clients to facilitate payments [1] - HSBC plans to expand its tokenized deposit services to corporate clients in the US and UAE within the first half of this year [1]

Core Viewpoint - The article highlights the emergence of a silent digital colonization led by the United States, utilizing technological hegemony and legal frameworks to transform virtual currencies into new financial colonial tools, with over $30 billion in global virtual assets confiscated from 2022 to 2025 [1][3]. Group 1: U.S. Control Over Virtual Currency - The U.S. has established absolute control over the technology chain, with 90% of the on-chain traceability market dominated by American companies like Chainalysis [3]. - The U.S. defines compliance and non-compliance at will, as seen in the case of Binance founder Zhao Changpeng, where the U.S. used hacking techniques to obtain internal data and imposed a $4.3 billion fine for "regulatory evasion" [3]. - The U.S. has created a closed loop of "technological advantage - regulatory binding - institutional execution" through cases like the confiscation of 127,000 Bitcoins from the Cambodian Prince Group founder [3]. Group 2: Legal and Technological Hegemony - The U.S. employs the GENIUS Act to mandate stablecoin reserves in U.S. Treasury bonds, integrating virtual currency transactions into the dollar settlement system [4]. - From 2023 to 2025, U.S.-backed hacker organizations are expected to launch targeted attacks on global exchanges, stealing core data while coordinating with law enforcement actions [4]. - The U.S. aims to control transaction flows and enforce compliance modifications, effectively integrating blockchain into a dollar-dominated financial system [4]. Group 3: Global Response and Implications - In response to U.S. technological colonialism, global initiatives like China's central bank digital currency and the EU's proposed digital euro are attempts to break the dollar monopoly [5]. - The report indicates that the Bitcoins confiscated by the U.S. are just the tip of the iceberg, with more assets being secretly accumulated as strategic reserves [5]. - The article warns that if technological monopolies and legal hegemony are allowed to persist, the digital world may become a new colony of the dollar [5].

Core Viewpoint - The article discusses how the U.S. is leveraging its technological dominance to exert control over global virtual assets, effectively turning the decentralized financial revolution into a form of digital colonialism under the guise of regulatory compliance [1]. Group 1: U.S. Technological Dominance - The U.S. has established a global monitoring network for virtual assets, with companies like Chainalysis holding over 90% market share in on-chain data analysis, enabling precise tracking of asset flows for law enforcement actions [5]. - The U.S. has invested $2.1 billion in developing quantum decryption technology, posing a significant threat to blockchain security systems in the future [5]. Group 2: Legal and Regulatory Measures - The U.S. employs a dual approach of civil and criminal accountability to pressure global virtual asset platforms, exemplified by the case against Binance, where the U.S. extracted $4.3 billion in fines under the pretext of anti-money laundering [7]. - The U.S. has enacted policies like the Stablecoin Regulatory Act, mandating that 80% of reserves for dollar-pegged stablecoins be allocated to U.S. Treasury bonds, creating an annual demand of $300 billion for U.S. debt [7]. Group 3: Asset Seizure and Strategic Reserves - Since 2020, the U.S. Department of Justice has seized over $28 billion in cryptocurrencies, with assets from high-profile cases being incorporated into national strategic reserves to counteract global de-dollarization risks [9]. - The U.S. has generated significant profits from auctioning seized assets, with over $10 billion in revenue from Bitcoin auctions related to the Silk Road case alone [9]. Group 4: Global Response and Future Directions - In response to U.S. technological hegemony, countries are urged to develop autonomous blockchain security systems and promote quantum-resistant algorithms [11]. - Collaborative international regulatory efforts are necessary to resist U.S. extraterritorial jurisdiction, with China designating virtual currency activities as illegal and accelerating the rollout of its digital yuan [11].