Citi Bank Names OSL as Top Crypto Pick in Hong Kong with Strong Growth Outlook

Wall Street banking leader Citi (C) has commenced coverage of cryptocurrency exchange OSL (0863) with a buy/high risk recommendation and a target price of HK$21.80 ($2.80), representing 22 times projected 2025 price-to-sales ratio. Citi emphasized OSL's strategic positioning as a regulated digital asset trading and payments platform, citing substantial growth potential linked to institutional cryptocurrency adoption and stablecoin-related offerings. The bank forecasts impressive revenue growth of 80%, 60%, and 36% for 2025, 2026, and 2027 respectively, driven by PayFi expansion and increased regulated market presence. Analysts highlighted OSL's compliance-focused approach, noting its portfolio of over 50 licenses across 10 jurisdictions and planned expansion into European, Middle Eastern, and emerging markets. Citi also recognized OSL's dominant 60% share in Hong Kong's OTC crypto market, citing superior liquidity, competitive pricing, and strong client retention as key advantages. The platform is advancing its stablecoin infrastructure with upcoming launches including OSL BizPay for cost-effective cross-border payments, StableX for stablecoin issuance, and Tokenworks for asset tokenization. While acknowledging risks from market volatility, regulatory changes, and competition, Citi maintained that OSL's compliance-first strategy and early market leadership position it as a standout performer in Hong Kong's expanding digital asset sector. The stock concluded trading 0.4% lower at HK$16.89 ($2.17). The Hong Kong-based company previously secured $300 million through an equity sale in July.