9GAG acquires Howkingtech to expand into AI, crypto, and web3, aiming for long-term growth in virtual assets - IcoHolder.

9GAG, the popular meme-sharing platform, has taken control of Hong Kong-listed Howkingtech International in a move to expand into the realms of artificial intelligence, cryptocurrencies, and the broader creator economy. Ray Chan, co-founder of 9GAG, is set to lead the transformation, with plans to rebrand Howkingtech as MemeStrategy, marking a new chapter for the company.

The acquisition deal, which includes a cash consideration of approximately HK$79.65 million (around $10.2 million), was revealed through a regulatory filing with Hong Kong Exchanges and Clearing Limited. The deal could potentially increase if all share options are exercised before the offers close. Following the announcement, Howkingtech’s shares saw a 3.5% surge on the Hong Kong stock exchange, signaling investor confidence in the new direction.

Ray Chan emphasized the strategic timing of the acquisition, aiming to leverage the public company’s transparent operating model to boost market awareness of web3 technologies. “Now is the optimal time to leverage the transparent operating model of public companies to improve market awareness and confidence in web3 while creating long-term value for shareholders,” Chan stated. He also highlighted the vision of bridging the gap between the new economy and traditional finance, with the goal of positioning Hong Kong as a global hub for virtual assets.

Though the filing does not provide detailed information about specific crypto projects, reports suggest that Chan intends to focus on Bitcoin, web3 initiatives, and decentralized infrastructure. The newly branded MemeStrategy will reportedly incorporate Bitcoin and other promising virtual assets into its asset portfolio, aiming for sustainable growth and long-term value creation.

This move represents a significant step for 9GAG as it ventures beyond meme culture into the fast-evolving world of digital assets and decentralized technologies, signaling a bold new direction for the company’s future.