OSL Group Raises $300M for Stablecoin Expansion Amid Hong Kong's Upcoming Regulations

OSL Group, a digital asset platform based in China Hong Kong, has secured $300 million in equity financing through new share issuance, marking a significant step ahead of its stablecoin and payments infrastructure expansion. The funding, the largest publicly disclosed equity raise by an Asia-based digital asset firm, will be allocated to three key areas: stablecoin and payment infrastructure development, international expansion, and real-world asset (RWA) tokenization. Approximately $90 million will directly support stablecoin initiatives, aligning with China Hong Kong’s impending stablecoin regulatory regime, which is set to take effect on August 1. The firm’s CEO, Ivan Wong, emphasized that the capital will accelerate global regulated payment solutions, reinforcing confidence in OSL’s strategy [1].

The fundraising timing coincides with regulatory changes in China Hong Kong, where a new licensing framework for stablecoin issuers will require fiat-backed tokens and mandate registration with the Hong Kong Monetary Authority (HKMA). This policy, which passed its final legislative reading in May, allows licensed institutions to apply for operational licenses by year-end, as noted by lawmaker Johnny Ng Kit-Chong. OSL, the first exchange to receive a license from the HKMA, aims to leverage this regulatory clarity to establish leadership in the sector [2].

The capital will also fuel OSL’s aggressive global expansion. The company has acquired multiple platforms, including Japan’s CoinBest (rebranded as OSL Japan), Indonesia’s Evergreen Crest, and Canada’s Banxa. These acquisitions underscore its ambition to build a cross-border infrastructure bridging fiat, stablecoins, and cryptocurrencies. Wong highlighted that the funding will accelerate development of “regulated payments and access points globally,” reflecting the firm’s focus on compliance and market readiness [3].

OSL’s stock price dipped 7.4% following the announcement, though it remains up 14% over the past month and has more than doubled since January. This resilience suggests investor optimism amid broader crypto market volatility. The firm’s strategic alignment with China Hong Kong’s regulatory timeline positions it to capture a first-mover advantage in a sector poised for institutional participation. By dedicating $90 million to stablecoin infrastructure pre-August 1, OSL aims to streamline operations ahead of the licensing window [4].

The raise highlights growing institutional interest in China Hong Kong’s digital asset ecosystem. OSL’s emphasis on RWA tokenization—such as digitizing bonds or real estate—aligns with the region’s push to integrate traditional assets into blockchain frameworks. However, the company’s success will depend on navigating regulatory hurdles and competing with emerging licensed stablecoin issuers. The August 1 policy implementation will serve as a critical test for OSL’s operational readiness and market positioning [1].

Source: [1] [Reuters](https://www.reuters.com/business/finance/hong-kong-based-digital-asset-platform-osl-group-completes-300-million-equity-2025-07-25/) [2] [Decrypt](https://decrypt.co/331785/hong-kongs-osl-raises-300m-to-bring-trusted-access-to-crypto-ahead-of-stablecoin-law-rollout) [3] [FinanceFeeds](https://financefeeds.com/hong-kongs-osl-group-raises-300-million-ahead-of-stablecoin-launch/) [4] [BTCC](https://www.btcc.com/en-CA/square/Global%20Cryptocurrency/688449)