HashKey Reports $151M Loss Ahead of Hong Kong IPO

HashKey Group has cleared a critical regulatory hurdle for its Hong Kong IPO, but recent filings reveal the crypto exchange paid a steep price to dominate the city’s digital asset market.

The company processed HK$638.4 billion (approximately $82 billion) in trading volume during 2024, according to documents published Monday with Hong Kong’s exchange. That figure represents roughly double the previous year’s volume.

🚨 JUST IN: HASHKEY LEADS HONG KONG’S CRYPTO MARKET AHEAD OF IPO, BUT ULTRA-LOW FEES LIMIT REVENUE AND FAIL TO OFFSET GROWING LOSSES. pic.twitter.com/k4akL2whvo

— Coinwaft (@coinwaft) December 1, 2025

However, HashKey’s aggressive pricing strategy came at a significant cost. The exchange posted a net loss exceeding $151 million (HK$1.18 billion) in 2024, despite commanding approximately 75% of Hong Kong’s crypto trading market.

The company’s transaction fees remained below 0.1 percent throughout the year. This pricing approach prioritized market share over immediate profitability, a strategy that will likely face scrutiny from potential investors as the IPO approaches.

HashKey’s Market Dominance at a Heavy Cost

HashKey named JPMorgan and Guotai Junan Securities as sponsors for the transaction in Monday’s filing. The company did not disclose the offering size or timeline for the public debut.

HashKey Holdings Passes HKEX Hearing, Advances Toward Hong Kong IPO

According to a disclosure from the @HKEXGroup on December 1, HashKey Holdings Limited (@HashKeyGroup) has passed its HKEX listing hearing.@jpmorgan, Guotai Haitong, and Guotai Junan International are acting as… pic.twitter.com/iDbym6kfFJ

— ME (@MetaEraHK) December 1, 2025

Bloomberg reported in October 2024 that the exchange may seek to raise up to $500 million through the flotation. HashKey has not confirmed this figure publicly.

The firm holds one of Hong Kong’s coveted licenses to operate a virtual asset trading platform. As of September’s end, its platforms supported 80 tokens for both institutional and retail clients.

HashKey stated proceeds would fund technology stack upgrades, new product development, and enhanced security systems. The capital would also support overseas expansion and general corporate operations beyond Hong Kong’s borders.

The company’s platform scaled up significantly with both institutional and retail users throughout 2024. Its dominance has made it both a market leader and a target for fraudulent activity.

In January, Hong Kong’s Securities and Futures Commission flagged 33 suspicious websites impersonating HashKey. This brought the total number of identified fake sites to 45, prompting the company to issue warnings.

Crypto IPO Wave Accelerates

HashKey’s public offering comes amid accelerating momentum for crypto-related listings. Multiple digital asset companies have pursued or completed IPOs in 2025, signaling renewed market confidence.

Circle, the stablecoin issuer, debuted in June and surged more than sevenfold since going public. The company’s successful listing set a positive tone for subsequent crypto offerings.

BitGo officially filed for an IPO, becoming the first dedicated crypto custodian seeking a U.S. stock exchange listing. The filing reflected renewed confidence in crypto public offerings following regulatory clarity.

Gemini, founded by the Winklevoss twins, filed confidentially for a U.S. IPO in June. The move added momentum to the growing wave of crypto exchanges pursuing public markets.

More recently, Figure Technology Solutions Inc. raised $787.5 million in its IPO. The blockchain-focused lending platform’s successful offering demonstrated strong investor appetite for crypto-adjacent businesses.

The hearing HashKey cleared represents a critical step in Hong Kong’s IPO process. The committee assesses eligibility, compliance standards, and disclosure practices before granting approval to proceed.

Following hearing clearance, companies typically move to prospectus registration. This leads to investor marketing, book-building, and pricing phases before the final listing on the exchange.

HashKey’s path to public markets will test investor appetite for unprofitable crypto platforms pursuing market share growth. The company’s financial performance will face comparison against newly listed peers globally.