Hong Kong Crypto Spotlight: Citi Calls OSL a Top Pick

Citi Initiates Coverage of OSL with Buy Rating, HK$21.80 Price Target

Citi (C) has started coverage of Hong Kong-based crypto exchange OSL (0863), assigning a buy/high-risk rating and a target price of HK$21.80 ($2.80), equivalent to 22 times projected 2025 price-to-sales.

Citi highlighted OSL’s position as a regulated digital-asset trading and payments platform, with strong growth prospects driven by institutional adoption and stablecoin-related products. The bank projects revenue growth of 80% in 2025, 60% in 2026, and 36% in 2027, fueled by PayFi expansion and a broader regulated market presence.

Analysts noted OSL’s regulatory-first approach, holding over 50 licenses across 10 jurisdictions with plans to expand into Europe, the Middle East, and emerging markets. The firm dominates Hong Kong’s OTC crypto market, controlling more than 60% of the market, supported by liquidity, competitive pricing, and client retention.

OSL is also advancing its stablecoin infrastructure, launching initiatives like OSL BizPay for cost-efficient cross-border payments, StableX for stablecoin issuance, and Tokenworks for tokenization.

While Citi warned of risks including volatility, regulation, and competition, it emphasized OSL’s early market lead and compliance-focused strategy as key differentiators in Hong Kong’s growing crypto sector.

Shares closed 0.4% lower at HK$16.89 ($2.17). The firm raised $300 million in equity funding in July.