Encryption Assets and Concept Stocks Market: Value Reshaping Under the Wave of Institutionalization

In the first half of 2025, the global encryption asset market experienced a significant turning point, shifting from retail-driven to institution-led. Bitcoin reached a new annual high of $110,000 on May 22, as a large influx of institutional funds drove encryption assets to gradually become an important asset allocation tool. This trend has brought new investment opportunities for encryption concept stocks.

In the US stock market, Coinbase's stock price has been fluctuating at a high level, reaching a peak of $271.95 on May 22. A stablecoin issuer's stock price surged by about 167% on its listing day on June 5. In the Hong Kong stock market, the introduction of regulations related to Hong Kong stablecoins has boosted market confidence. Several companies' stock prices have significantly increased, including a certain capital holdings firm, a certain digital payment company, and a certain technology company. The A-share market has also been positively impacted, with some companies related to encryption technology showing outstanding stock performance.

The rise in the prices of encryption assets from late May to early June has become a key factor driving the performance of the encryption concept stock market, marking a new stage of institutionalization, compliance, and value reconstruction in investment. Investors have higher expectations for the transition from investing in encryption assets to related stocks.

The Linkage Logic Between Encryption Assets and Encryption Concept Stocks

Encryption assets have performed outstandingly recently, primarily for the following reasons:

First, the institutional control and capital concentration effect are significant. In May 2025, Bitcoin reached its highest point of the year, and on-chain data shows that the proportion of Bitcoin held by institutions has greatly increased. Several asset management giants have absorbed a large amount of capital through spot ETFs, marking the official inclusion of Bitcoin into the global asset allocation model.

Secondly, the Ethereum ecosystem has synchronized and exploded, with Layer 2 transactions accounting for over 60%, and the total locked value (TVL) surpassing $108 billion. Network upgrades have improved processing efficiency, driving up the price of ETH, and the frequency of smart contract calls has increased by 55% year-on-year.

In addition, the compliance process for stablecoins is accelerating, reshaping the underlying financial infrastructure. Relevant U.S. legislation establishes a "100% USD/Treasury reserve" requirement, driving the market value of mainstream stablecoins to exceed $280 billion. The implementation of stablecoin regulations in Hong Kong directly serves cross-border payment and supply chain finance scenarios.

These factors together have driven the price increase of encryption assets and also boosted the stock performance of related listed companies.

Encryption Concept Stocks: The Industrial Coupling and Valuation Restructuring Behind Stock Price Linkage

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

In terms of US stocks, a certain trading platform maintained a high-level fluctuation from the end of May to the beginning of June. The stock prices of mining companies performed steadily. A certain stablecoin issuer's stock price skyrocketed by 167% on its first day of listing, becoming the market focus. Other mining and blockchain stocks also showed varying degrees of increase.

In the Hong Kong stock market, influenced by the upcoming implementation of regulations related to Hong Kong stablecoins, stablecoins and encryption concept stocks have performed strongly. 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 companies have seen significant stock price increases, with gains ranging from 4% to 30%. Overall, A-share related assets 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 restructuring of the entire industry's value system. This transformation is mainly driven by three key forces.

First, compliance has become the cornerstone of industry development. By 2025, major global economies will accelerate the improvement of regulatory frameworks. Regions such as the United States, the European Union, and Hong Kong have introduced related regulations, enhancing market transparency and security, which has also brought about a "license premium".

Secondly, the continuous influx of institutional funds has reshaped the market pricing mechanism. Institutional investors are incorporating encryption assets into 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 to jointly push encryption assets and their related stocks into a more mature, compliant, and technology-driven new era, where the value assessment system is achieving a qualitative leap.

Regulatory Divergence, Scenario Implementation, and Investment Paradigm Shift

In 2026 and beyond, the global encryption asset market regulatory environment will show a more differentiated and refined pattern. Regions such as the United States, the European Union, and Hong Kong have their own regulatory focuses, which promote the value enhancement of compliance licenses and also give rise to cross-regional compliance arbitrage opportunities.

The concentration of the industry will further increase, licensed institutions will control the majority of market share, and compliance qualifications will become the core threshold for enterprise development.

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 purchasing plans, treating digital assets as an important store of value and exploring their potential in the digital economy.

Conclusion: Value Anchoring in the New Paradigm

The institutionalization of encryption assets is not a short-term bubble, but rather the systemic acceptance of decentralized trust mechanisms by the global financial system. Investment logic is evolving from zero-sum games to value symbiosis. Compliance constitutes the bottom line for corporate survival, technology determines the growth slope, and scenario implementation shapes the valuation ceiling.

The core opportunities in the future will no longer be short-term price games, but rather around compliance barriers, technological depth, and scenario embedding capabilities, uncovering "encryption value creators" that transcend cycles. This new paradigm indicates that a new era of deep integration between digital finance and traditional finance has already begun.