The cryptocurrency asset market enters a new era dominated by institutions, and concept stocks welcome investment opportunities

In the first half of 2025, the global encryption asset market experienced a significant turning point, shifting from retail-driven to institution-led. On May 22, Bitcoin hit a record high of $110,000 for the year, with a large influx of institutional funds driving encryption assets gradually transitioning from speculative products to asset allocation tools. Against this backdrop, encryption concept stocks welcomed new investment opportunities.

In the US stock market, Coinbase's stock price fluctuated at a high level, reaching a maximum of $271.95 on May 22. A stablecoin issuance company triggered multiple circuit breakers on the day of its listing on June 5, ultimately rising about 167% from the issuance price. In the Hong Kong stock market, the regulatory policies for stablecoins in Hong Kong boosted market confidence, and a capital holding company received significant attention due to its early investment in a stablecoin company, rising over 14% during intraday trading on June 9. Several Hong Kong-listed companies also saw significant stock price increases. The A-share market was similarly positively impacted, with many related stocks performing outstandingly.

Overall, the price increase of encryption assets from late May to early June has become a key factor driving the performance of encryption concept stocks, marking a new stage of institutionalization, compliance, and value reconstruction in investment. Investor expectations for encryption asset-related investments are also continuously rising.

The Resonance Logic of Encryption Assets and Encryption Concept Stocks

Recently, encryption assets have performed outstandingly, mainly due to the following reasons:

First, the institutional control and concentration of funds are significant. In May 2025, Bitcoin reached a yearly high, and on-chain data shows a substantial increase in the proportion of Bitcoin held by institutions. Several major asset management firms have absorbed billions of dollars in funds through spot ETFs, marking Bitcoin's formal inclusion in global asset allocation models.

Secondly, the Ethereum ecosystem is synchronously exploding, with Layer 2 transactions accounting for over 60%, and the total locked value (TVL) surpassing $108 billion. The Cancun upgrade improved network processing efficiency, driving up ETH prices, with the frequency of smart contract calls increasing by 55% year-on-year.

In addition, the compliance process for stablecoins is accelerating, reshaping the underlying financial infrastructure. Relevant legislation in the United States establishes a "100% USD/Treasury reserves" requirement, driving the market capitalization of mainstream stablecoins to exceed $280 billion. Hong Kong's stablecoin regulatory policy has been implemented, directly serving cross-border payment and supply chain finance scenarios.

These factors collectively drove up the prices of encryption assets and also boosted the stock performance of related listed companies.

Encryption Concept Stocks: The Industry Coupling and Valuation Reshaping Behind Stock Price Correlation

With the booming market for encryption assets, encryption concept stocks have also ushered in an investment boom.

In the US stock market, the stock prices of several cryptocurrency-related companies remained high and volatile from late May to early June. A stablecoin issuance company's stock price soared 167% on its first day of listing, becoming the market focus. Several mining and blockchain companies also saw their stock prices rise to varying degrees.

In the Hong Kong stock market, influenced by the upcoming positive effects of the regulatory policies on stablecoins, the performance of stablecoins and encryption concept stocks has been strong. The stock prices of several companies have seen significant increases, with gains ranging from 5% to 80%.

In the A-share market, the digital currency and encryption security sectors are active. Several related stocks saw varying degrees of increase from late May to early June. Overall, the A-share related targets are performing steadily, driven by policies and technology.

Three Major Drivers of Value Reconstruction: Compliance, Institutionalization, and Technological Innovation

Recently, the value of encryption assets and related stocks has significantly increased, reflecting a profound reconstruction of the entire industry's value system. This transformation is mainly driven by three major forces.

First of all, compliance has become the cornerstone of industry development. In 2025, major global economies are accelerating the improvement of regulatory frameworks. Regions such as the United States, the European Union, and Hong Kong are successively introducing relevant regulations, enhancing market transparency and security, and also bringing about a "licensing premium".

Secondly, the continuous influx of institutional funds has reshaped the market pricing mechanism. Institutional investors are incorporating encryption assets into their long-term asset allocation, driving the market from retail speculation to rational investment.

Finally, technological innovation injects new momentum into industry development. Traditional financial institutions actively explore the application of blockchain technology, launching on-chain asset tokens and trading platforms to enhance asset digitization and trading efficiency.

These three driving forces interact with each other, together pushing encryption assets and their related stocks into a more mature, compliant, and technology-driven new era, resulting in a qualitative leap in the value assessment system.

Regulatory Divergence, Scenario Implementation and Investment Paradigm Shift

As the global encryption asset market matures, the regulatory environment will present a more differentiated and refined pattern in 2026 and beyond. Regulatory differences in different regions have driven up the value of compliance licenses and have also created cross-regional compliance arbitrage opportunities.

The concentration of the industry will further increase, and licensed institutions will control the majority of the market share. Compliance qualifications have become the core threshold for the survival and development of enterprises.

In terms of asset digitization and scenario implementation, real-world assets (RWA) are becoming an important bridge connecting traditional finance and digital finance. In the coming years, the global RWA market size is expected to exceed hundreds of billions of dollars, with real estate, carbon credits, and supply chain finance being the main implementation scenarios.

At the enterprise level, cases of digital asset allocation are increasing. Some companies have launched large-scale Bitcoin purchase plans, treating digital assets as important value reserves and exploring their potential in the digital economy.

Conclusion: Value Anchoring in the New Paradigm

Institutional non-cyclical bubbles of encryption assets represent the global financial system's institutional acceptance of the "decentralized trust mechanism." From "speculating on coins" to "speculating on stocks," the investment logic evolves from zero-sum games to value symbiosis. Compliance constitutes the survival bottom line for enterprises, technology determines the growth slope, and the landing of scenarios shapes the valuation ceiling.

The policy dividends of Hong Kong stocks, the transformation of US stock business, and the technological breakthroughs of A-shares collectively constitute a sample of the reconstruction of the market valuation system. The core opportunities in the future will no longer be short-term price games, but rather revolve around compliance barriers, technological depth, and scenario embedding capabilities, to unearth "encryption value creators" that transcend cycles. This new paradigm signifies the onset of a new era of deep integration between digital finance and traditional finance.