FTFT Announces Agreement with S1Quant to Explore the New Blue Ocean of Compliant Cryptocurrency Asset Management

Rhea-AI Summary

Future FinTech (NASDAQ: FTFT) announced on Jan 5, 2026 that its subsidiary FTFT Securities signed a Letter of Intent on Dec 29, 2025 with S1Quant to develop compliant cryptocurrency asset management products.

The cooperation targets three initiatives: quantitative crypto asset management combining S1Quant algorithms with FTFT Securities' SFC licenses (Type 1, 2, 4); product and business-model innovation for institutional and high-net-worth clients; and data and technical coordination to improve service efficiency.

S1Quant is described as having 7 consecutive years of stable returns, serving more than 100 high-net-worth clients, and operating a proprietary platform with over 50 trading factors.

Positive

• Signed LOI on Dec 29, 2025 to pursue crypto asset management
• FTFT Securities holds SFC licenses Type 1, Type 2, Type 4
• S1Quant reports 7 years of consecutive stable returns
• S1Quant platform tracks over 50 trading factors in real time
• S1Quant has served more than 100 high-net-worth clients

Negative

• Agreement is a Letter of Intent, not a disclosed binding transaction
• No commercial terms, fees, AUM targets, or launch timeline disclosed

News Market Reaction

+11.09%

3 alerts

+11.09% News Effect

+11.1% Peak Tracked

+$2M Valuation Impact

$18M Market Cap

0.1x Rel. Volume

On the day this news was published, FTFT gained 11.09%, reflecting a significant positive market reaction. Argus tracked a peak move of +11.1% during that session. Our momentum scanner triggered 3 alerts that day, indicating moderate trading interest and price volatility. This price movement added approximately $2M to the company's valuation, bringing the market cap to $18M at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Years of stable returns: 7 years High net worth clients: More than 100 clients Trading factors and strategies: More than 50 +5 more

8 metrics

Years of stable returns 7 years S1Quant performance history since 2018

High net worth clients More than 100 clients S1Quant client base

Trading factors and strategies More than 50 Factors/strategies on S1Quant proprietary data platform

Establishment year S1Quant 2018 Founding year of S1Quant

Establishment year FTFT Securities 2009 Founding year of FTFT Securities

Current price $0.7466 Pre‑news trading level vs 52‑week range

52-week high $4.997 Stock trades 85.06% below this level

52-week low $0.73 Stock trades 2.27% above this level

Market Reality Check

Price: $0.6681 Vol: Volume 55,555 is 25% abov...

normal vol

$0.6681 Last Close

Volume Volume 55,555 is 25% above the 20-day average of 44,605 shares. normal

Technical Trading well below 200-day MA ($0.75 vs. MA200 $1.69) and 85.06% under 52-week high.

Peers on Argus

Sector scan shows peers like MASK and WCT moving up (median ~12.3%), while FTFT ...

2 Up 1 Down

Sector scan shows peers like MASK and WCT moving up (median ~12.3%), while FTFT was down 3.21%, indicating stock-specific weakness despite broader positive sector momentum.

Historical Context

5 past events · Latest: Oct 07 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Oct 07	Web3/RWA partnership	Positive	+8.9%	Strategic cooperation with HHEX to develop compliant Web3 and RWA platforms.
Sep 02	New rail venture	Positive	-5.4%	Agreement to develop ultra‑high‑speed rail using patented Vacuum Parcel tech.
Aug 27	Shareholder meeting	Neutral	+3.2%	Announcement of special shareholder meeting and voting logistics in Hong Kong.
Aug 13	AI platform launch	Positive	+3.4%	Launch of AI-based analytics and trading platform via Hong Kong subsidiary.
Aug 11	VASP license move	Positive	-6.3%	Formal application for Hong Kong VASP and Type 9 licenses to expand virtual assets.

Pattern Detected

Strategic and Web3/crypto announcements have produced mixed reactions, with some collaborations and tech launches seeing positive moves while other expansion news sold off, suggesting inconsistent market confidence in new initiatives.

Recent Company History

Over the last six months, FTFT has focused on Web3, virtual assets, and diversified technology initiatives. On Aug 11, it applied for Hong Kong VASP and Type 9 licenses, which was followed by a -6.35% move. An AI-driven analytics platform launch on Aug 13 saw shares gain 3.43%. Subsequent shareholder meeting and Web3/RWA cooperation news in August–October produced mixed but generally modest price reactions. The current cryptocurrency asset management cooperation continues this push into regulated digital-asset and fintech services.

Market Pulse Summary

The stock surged +11.1% in the session following this news. A strong positive reaction aligns with F...

Analysis

The stock surged +11.1% in the session following this news. A strong positive reaction aligns with FTFT’s ongoing pivot toward regulated digital‑asset businesses. The S1Quant cooperation adds quantitative crypto capabilities to an SFC‑licensed platform at a time when the stock traded 85.06% below its 52‑week high and just above its low. However, mixed past reactions to expansion news and prior disclosures of operating losses and going‑concern risks could limit durability if execution or funding concerns resurface.

Key Terms

cryptocurrency asset management, quantitative trading, equity capital markets, debt capital markets, +1 more

5 terms

cryptocurrency asset management financial

"cooperation in the field of cryptocurrency asset management and jointly promote the"

Cryptocurrency asset management is the professional handling of digital coins and tokens on behalf of investors, covering tasks such as buying and selling, choosing how much of each asset to hold, and providing secure custody. Like a combination of a financial advisor and a secure vault for digital money, it matters because it can simplify access, improve diversification and security, and influence returns through fees, strategy choices and exposure to volatile markets and changing rules.

quantitative trading technical

"a leader in the field of cryptocurrency quantitative trading and it has established"

Quantitative trading uses computer programs and mathematical models to decide when to buy or sell securities, based on patterns in prices, volumes and other data. Like a recipe or thermostat that follows rules instead of moods, it executes trades quickly and consistently; for investors this matters because it can change how easily trades are filled, affect short-term price moves and overall market liquidity, and influence risk and returns.

equity capital markets financial

"core businesses currently include: Hong Kong and U.S. stock brokerage services, Equity Capital Markets (ECM)"

Equity capital markets are the channels and activities through which companies sell ownership stakes (shares) to investors, including initial public offerings, follow-on share sales, and block trades. Think of it as a marketplace or storefront where firms raise money by offering pieces of the business; the size, timing and price of those offerings can change a stock’s supply, dilute existing ownership, and influence valuation and future growth prospects, so investors watch it closely.

debt capital markets financial

"stock brokerage services, Equity Capital Markets (ECM) and Debt Capital Markets (DCM)."

Debt capital markets are the parts of the financial system where companies, governments and institutions raise money by issuing loans, bonds or notes that investors can buy. Investors lend capital in exchange for regular interest payments and eventual repayment of principal, so changes in interest rates, the issuer’s ability to repay, or the amount of new debt offered can directly affect income, risk and the value of holdings—similar to deciding whether to buy someone’s IOU based on how likely they are to pay you back.

virtual asset trading financial

"intends to expand into the asset management and virtual asset trading segments."

Virtual asset trading involves buying and selling digital assets that exist electronically, such as cryptocurrencies or digital tokens. It functions like exchanging items in an online marketplace, allowing investors to try to profit from changes in their value. This activity is important because it provides opportunities for investment and speculation in digital assets, which are increasingly influential in the modern financial landscape.

AI-generated analysis. Not financial advice.

NEW YORK, Jan. 5, 2026 /PRNewswire/ -- Future FinTech Group Inc. (NASDAQ: FTFT; "Future FinTech", "FTFT", or the "Company"), a comprehensive financial and digital technology service provider, today announced that on December 29, 2025, its wholly-owned subsidiary, FTFT International Securities and Futures Limited ("FTFT Securities"), signed a Letter of Intent for Strategic Cooperation agreement (the "Agreement") with S1Quant in the field of cryptocurrency asset management. The two parties have agreed to join hands to establish long-term, in-depth cooperation in the field of cryptocurrency asset management and jointly promote the development of a compliant and professional cryptocurrency asset management business.

Since its establishment in 2018, S1Quant has achieved stable returns for seven consecutive years, and its overall performance has outperformed the concurrent growth of Bitcoin. Its core team comprises quantitative Ph.D.s from the highly prestigious computer science program at Tsinghua Yaoban, technical experts from global technology giants, and senior practitioners in the encryption industry. Built on a foundation of extensive academic research and technical expertise, S1Quant is a leader in the field of cryptocurrency quantitative trading and it has established a strong competitive advantage. The firm has served more than one hundred high net worth clients. Further, S1Quant's proprietary data platform displays the performance of more than fifty trading factors and investment strategies in real time, providing strong technical support for the quantitative asset management business. S1Quant believes that its proprietary algorithms and risk management systems have generated superior risk-adjusted returns for its clients. For more information, please see https://s1quant.com/.

Founded in 2009, FTFT Securities is a licensed corporation approved by the Hong Kong Securities and Futures Commission (SFC), holding licenses for Type 1 (Securities Trading), Type 2 (Futures Contract Trading), and Type 4 (Providing Advice on Securities) regulated activities. It is a wholly-owned subsidiary of Future FinTech  (Nasdaq: FTFT). Leveraging Future FinTech's diversified business operations, FTFT Securities' core businesses currently include: Hong Kong and U.S. stock brokerage services, Equity Capital Markets (ECM) and Debt Capital Markets (DCM). In the future, the Company intends to expand into the asset management and virtual asset trading segments. Leveraging its own and its group business advantages, it plans to deepen its presence overseas and provide more comprehensive and cutting-edge financial services for global clients.

According to the Agreement, the two parties will focus on three major initiatives:

1. Cooperation in cryptocurrency quantitative asset management, combining S1Quant's quantitative technical capabilities and FTFT Securities' compliance qualifications, to create cryptocurrency asset management products that meet regulatory requirements.
2. Innovation in products and business models and the exploration of new service models in the field of cryptocurrency asset management to meet the needs of institutional and high net worth investors.
3. Technical and resource coordination that creates coordination channels between the two parties in terms of data, and joint efforts to improve overall service efficiency and market competitiveness.

Krystal Wang, Co-Founder of S1Quant, commented, "The core competitiveness of cryptocurrency asset management lies in its technical depth and compliance. FTFT Securities' compliance experience, securities licensing, and service system in the traditional financial field perfectly complements S1Quant's quantitative technology, strategy research and development over the past seven years. This agreement represents not only the integration of resources between the two parties, but also an important attempt to integrate cryptocurrency assets with traditional finance."

Ms. Wang continued, "We plan to achieve growth by integrating our advanced technology and proven quantitative strategies with FTFT Securities' compliant services and financial services capabilities. In this way, we will bring safer and more stable cryptocurrency asset management experience to investors, and promote the industry from what is generally perceived to be unregulated growth to compliant empowered development."

Hu Li, CEO of FTFT, stated, "Against the background of the accelerated evolution of the crypto economy, cryptocurrency asset management has become an important growth component in the financial industry, but we believe that compliance and risk control have always been the prerequisite for business development. As a quantitative firm in the cryptocurrency industry that has achieved stable returns, S1Quant's technical strengths and strategic viability has been verified by the market. FTFT Securities plans to utilize its SFC license qualifications and the global resources of parent Future FinTech to provide a compliance framework and an operational support framework for the two parties' cooperative business initiatives."

"This Agreement signals that the two parties have entered a substantive phase in advancing a cryptocurrency asset management strategy. It is anticipated that S1Quant will fully leverage its advantages in cryptocurrency quantitative strategy research, development and market development, while FTFT Securities will draw on its traditional financial regulatory and professional experience to jointly provide investors with safe, compliant, and efficient cryptocurrency asset management services. We believe that combining quantitative technology with a traditional compliance framework will unlock new, technology-driven profit opportunities while maintaining the trusted safeguards of traditional finance, delivering greater value to institutional and high net worth clients," Mr. Li concluded.

About Future Fintech Group Inc.

Future FinTech Group Inc. (NASDAQ: FTFT) is a comprehensive financial and digital technology service provider. The Company, through its subsidiaries, conducts brokerage and investment banking services in Hong Kong, and engages in supply chain trading and finance businesses in China and efficient digital financial services. For more information, please visit www.ftft.com.

Safe Harbor Statement

Certain statements made in this press release are "forward-looking statements" within the meaning and protections of Section 27A of the Securities Act of 1933, as amended, or the Securities Act, Section 21E of the Securities Exchange Act of 1934, as amended, or the Exchange Act. Forward-looking statements include statements regarding our beliefs, plans, objectives, goals, expectations, anticipations, assumptions, estimates, intentions, and future performance, and involve known and unknown risks, uncertainties, and other factors that may be beyond our control, which may cause the actual results, performance, capital, ownership, or achievements of the Company to be materially different from those implied by such forward-looking statements. All statements other than statements of historical fact are statements that could be forward-looking statements. You can identify these forward-looking statements by our use of words such as "may," "will," "anticipate," "assume," "should," "indicate," "would," "believe," "contemplate," "expect," "estimate," "continue," "plan," "point to," "project," "could," "intend," "target" and other similar words and expressions relating to the future.

All written or oral forward-looking statements attributable to us are expressly qualified in their entirety by this cautionary notice, including, without limitation, the risks and uncertainties described in our annual report on Form 10-K for the year ended December 31, 2024 and our other reports and filings with the SEC. Such reports are available upon request from the Company, or from the Securities and Exchange Commission, including through the SEC's Internet website at http://www.sec.gov. We have no obligation and do not undertake to update, revise, or correct any of the forward-looking statements after the date hereof, or after the respective dates on which any such statements are otherwise made.

View original content to download multimedia:https://www.prnewswire.com/news-releases/ftft-announces-agreement-with-s1quant-to-explore-the-new-blue-ocean-of-compliant-cryptocurrency-asset-management-302650797.html

SOURCE Future FinTech Group Inc.

FAQ

What did FTFT announce on January 5, 2026 about cryptocurrency asset management?

FTFT said its subsidiary FTFT Securities signed a Letter of Intent on Dec 29, 2025 with S1Quant to develop compliant cryptocurrency asset management products.

How will FTFT Securities' SFC licenses affect the FTFT–S1Quant cooperation (FTFT)?

FTFT Securities holds SFC licenses Type 1, 2, and 4, which the company says will provide a regulatory and operational framework for compliant crypto asset management.

What track record does S1Quant bring to the FTFT partnership (FTFT)?

S1Quant is described as having achieved stable returns for seven consecutive years, serving over 100 high-net-worth clients and using a platform with > 50 trading factors.

Does the FTFT and S1Quant agreement include launch dates or financial terms for crypto products (FTFT)?

No — the announcement is a Letter of Intent and does not disclose commercial terms, AUM targets, pricing, or specific launch timelines.

What are the three main cooperation areas in the FTFT–S1Quant agreement (FTFT)?

They are: quantitative crypto asset management, product and business-model innovation for institutional/HNW clients, and technical/data coordination to improve service efficiency.