Hong Kong’s OSL Secures $300M War Chest to Dominate Crypto ‘Trusted Access’ Before Stablecoin Law Drops
Hong Kong's crypto heavyweight OSL just locked down a $300 million funding round—timed perfectly to cement its grip on institutional crypto access ahead of the city's looming stablecoin regulations.
The move signals a land grab for compliant crypto infrastructure as Asia's financial hub tightens its regulatory framework. OSL's CEO claims the capital will 'future-proof' their platform—though skeptics note the timing reeks of regulatory arbitrage.
With Hong Kong's Financial Services Authority (FSA) poised to roll out stablecoin rules by Q4 2025, OSL's cash injection lets them scale custody and trading services while rivals scramble to comply. The playbook? Become the go-to gateway before regulators slam the door on lesser-prepared competitors.
One banking insider quipped: 'Nothing unites crypto bros and institutional investors like racing to front-run legislation.' The market's response? A collective shrug—$300M is just another Tuesday in the casino of digital asset finance.
Hong Kong’s stablecoin bill
OSL’s timing is no coincidence. Hong Kong’s stablecoin bill is set to take effect next week, and a licensing regime for OTC crypto trading is expected before year-end.
The stablecoin bill, passed earlier in May by the city’s Legislative Council, will introduce a licensing framework for fiat-referenced stablecoins issued to the public in Hong Kong.
Hong Kong is likely to accelerate blockchain adoption in the coming years, producing ample opportunities for those in the space,” Peter Chung, who heads research at quantitative trading firm Presto Labs, told Decrypt.
Consequently, OSL appears to be “taking full advantage of its status” as a listed company to raise capital publicly and capture growth, he added. “Having ammunition” for such opportunities is strategic and seems to be the “smart thing to do,” Chung said.
Chung’s view echoes a broader market sentiment that Hong Kong’s regulatory clarity is driving a shift from experimentation to execution, a view shared by other licensed firms like Hex Trust.
“It’s encouraging to see licensed firms in Hong Kong putting stablecoin development on the roadmap,” Giorgia Pellizzari, head of custody at Hex Trust, told Decrypt. “There’s a real need for stablecoins that meet regulatory standards and integrate smoothly with existing financial infrastructure.”
Stablecoins, Pellizzari said, aren't just payment tools, but serve as “a bridge for broader digital asset use cases,” including settlement, tokenization, and on-chain liquidity.
Jakob Kronbichler, CEO of decentralized credit protocol Clearpool, takes a similar view, pointing to stablecoins' growing role in capital and credit markets.
“Once a crypto-native tool, stablecoins have now evolved into Core financial infrastructure for payments, liquidity, and capital movement,” Kronbichler told Decrypt.
With Hong Kong’s regulatory framework taking shape, Kronbichler said institutions are turning to stablecoin infrastructure to streamline credit, funding, and other financial services beyond payments.
“This is where the next wave of stablecoin utility will emerge,” he said.
OSL expects to complete the issuance by mid-August, pending regulatory approval. Trading was briefly halted Friday ahead of the announcement, in line with listing rules.
