The encryption industry has reached a milestone moment, with institutional investor interest surging.

Recently, the encryption market has been filled with good news, and the industry's development has reached a new climax. The global financial markets have generally risen against the backdrop of eased China-U.S. relations, and the cryptocurrency market has also warmed up accordingly. Ethereum leads the surge, breaking through the $2700 barrier, driving the DeFi sector to rise comprehensively, sparking heated discussions in the market about the return of the altcoin season.

In this favorable environment, significant news has also emerged within the encryption industry. On May 13, a large cryptocurrency exchange will be included in the S&P 500 index, replacing the soon-to-be-acquired Discover Financial Services. This change will take effect before trading begins on May 19, marking a major breakthrough for the encryption industry in mainstream financial markets and opening a new chapter in its development.

Global enterprises and institutional investors are increasingly interested in the encryption industry. The tariff ceasefire agreement reached between China and the United States has injected confidence into the market, leading to a significant rise in U.S. stock indices. Although the price of Bitcoin experienced a brief pullback, the entire encryption market quickly rebounded, with multiple mainstream tokens showing an upward trend.

The improvement of the regulatory environment has further promoted the development of the industry. New Hampshire has passed a strategic Bitcoin reserve bill that allows the state treasurer to purchase Bitcoin or large digital assets. The new SEC chairman has clearly stated that establishing a reasonable regulation framework for the encryption asset market will be prioritized. There are reports that a large asset management company is discussing an ETH staking proposal with the SEC, which has injected positive signals into the market.

The inclusion of encryption companies in the S&P 500 index for the first time is undoubtedly an important milestone in the mainstreaming process of the industry. This not only marks the recognition of the encryption industry by traditional financial markets, but also paves the way for more encryption companies to enter the mainstream financial market in the future. The stock price of the trading platform surged 24% after the announcement, indicating the enthusiasm of investors.

In the long run, the entry of encryption companies into major U.S. indices will bring more capital inflow to the industry, enhance the overall awareness of the industry, and attract more attention from traditional investors. This initiative has also further fueled the IPO boom for encryption companies, with several well-known encryption firms actively advancing their listing plans.

At the same time, the Hong Kong financial market is also actively laying out its plans in the encryption field, especially in the area of Real World Asset (RWA) tokenization. Several large technology companies and financial institutions have begun exploring and practicing in the RWA domain. A blockchain technology company under a certain e-commerce giant is forming RWA-related teams and collaborating with licensed virtual banks to explore cross-border payment solutions based on stablecoins.

Another tech giant's fintech division has successfully completed the country's first RWA case based on photovoltaic physical assets, involving an amount of 200 million RMB. Multiple exchanges and financial institutions are also actively promoting RWA projects, involving the tokenization of various financial products such as money market funds and ETFs.

With the improvement of technological infrastructure, traditional financial institutions are also beginning to provide related services. Several securities companies have obtained approval from regulatory agencies to engage in tokenized securities-related businesses, including structured products, funds, and bonds.

Overall, whether it is the IPO boom of American encryption companies or Hong Kong's exploration in the RWA field, it reflects that the encryption industry is gradually moving towards mainstream acceptance. Although there are differences in participation methods and regulatory environments in different regions, the overall trend is clear: more and more companies and institutions are actively laying out their plans in the encryption market.

As the mainstream adoption of encryption assets continues to rise, more companies will enter this field. Capital, attention, and resources will continue to flow into the market, and the trend of institutional investors' "fear of missing out" (FOMO) has just begun. In the future, we have reason to expect that the encryption industry will welcome broader development space and more innovative opportunities.