Crypto Exchange HashKey Seeks $215 Million in H.K. IPO While Racing Against Its Cash Burn Rate

Crypto exchange HashKey is pursuing a Hong Kong Initial Public Offering (IPO) aiming to raise as much as HK$1.67 billion (approximately $215 million). The filing reveals that the company incurred losses exceeding HK$3.0 billion between 2022 and mid-2025 due to substantial upfront investments in necessary infrastructure like custody, compliance, and on-chain services for its licensed operations. Despite rapid user growth to 1.44 million accounts, HashKey reported a loss of HK$506.7 million in the first half of 2025 and burned through an average of HK$40.9 million per month in the third quarter.

HashKey's investment case hinges on the leverage provided by its regulated market structure, arguing that revenue from trading, staking, and management fees can eventually outpace fixed infrastructure costs, leading to margin improvement. The exchange has strategically focused on its onshore platform, which features licensed fiat on/off-ramps, shifting away from its less competitive Bermuda-registered HashKey Global. With expected IPO proceeds, the company estimates it has over 70 months of liquidity under conservative scenarios.

(Source：CoinDesk)