Hong Kong-listed IVD Medical commits Ethereum treasury as part of partnership with HashKey Exchange

IVD Medical, a leading medical diagnostics provider in China, has made a significant move into the world of cryptocurrency. The company has announced the launch of ivd.xyz, an exchange focused on trading tokenised real-world assets (RWAs).

In addition to the exchange, IVD Medical is also planning to launch a stablecoin called IVDD. The company's board has resolved to proceed with a primary listing on the NASDAQ through a proposed initial public offering of its American Depositary Shares (ADS).

The ivd.xyz exchange is designed to facilitate the trading of tokenised RWAs, offering a platform for investors to buy and sell assets backed by real-world assets. IVD Medical aims to become the leading public company in Hong Kong in terms of ETH reserves.

To achieve this, the company will increase its ETH reserves through regular and quantitative purchases using multiple funding sources, including its own funds, stable annual distributable profits, replacement of existing inefficient inventory assets, and continuous At-The-Market (ATM) financing.

IVD Medical has already demonstrated its commitment to this venture, having purchased 5,190 ETH for HK$149 million (~$19M) on 9 August using HashKey Exchange. HashKey, a leading Hong Kong digital assets exchange, has entered into a strategic partnership with IVD Medical Holdings Limited (1931.HK).

IVD Medical also has an established pharmaceutical commercialization network, consisting of 351 direct customers, 1,253 distributors, and 1,674 Class III hospitals. Class III hospitals in China are typically large, comprehensive facilities often affiliated with universities.

With its extensive network and ambitious plans, ivd.xyz aims to address challenges in medical and pharmaceutical research, such as low financing efficiency and asset liquidity, by leveraging its hospital network in China and global asset acquisition capabilities.

IVD Medical is also planning to apply for a stablecoin issuer license in Hong Kong, with future plans for relevant license applications in places like Singapore and Europe. If successful, IVD could serve as a model for mainland Chinese companies experimenting with Web3 technologies outside of China.

Since announcing its plans on 14 July, IVD's stock price has more than tripled. The company's foray into the crypto world is undoubtedly a significant development, and it will be interesting to see how it unfolds in the coming months.