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BLUE HAT Announces the Entry into Malaysian Gold Market and Continuous Expansion in Gold Trade Business

MWN-AI** Summary

Blue Hat Interactive Entertainment Technology (NASDAQ: BHAT) has made a significant move by officially establishing a Malaysian subsidiary, GOLDEN ALPHA STRATEGY SDN. BHD., in Penang. This entry into the Malaysian gold market is pivotal for the company’s growth, especially as Malaysia has emerged as a key player within Southeast Asia's gold sector. Between Q3 2024 and Q3 2025, demand for gold bars and coins in Malaysia surged over 38%, placing it among the world's top five markets for gold investment. Notably, data from the World Gold Council indicated a 34% increase in gold demand, reaching 2.5 tonnes in Q1 2025.

The Malaysian gold sector is thriving, characterized by robust demand, a comprehensive industry infrastructure, and promising development prospects. Penang, recognized as a manufacturing hub, contributes roughly 80% of Malaysia’s gold jewelry production, with the retail market projected to grow at a CAGR of 6.3%, elevating from RM 18.3 billion in 2025 to RM 23.4 billion by 2029. Furthermore, the adoption of digital investment platforms is attracting younger investors, underpinning dual growth alongside traditional retail avenues.

Blue Hat’s strategic orientation aims to optimize gold trade, leveraging Penang's well-established industrial ecosystem. CEO Chen Xiaodong announced that the company has already executed transactions totaling 200,000 grams of gold, emphasizing their focus on channel integration to enhance their competitive edge. Malaysia's favorable policies, including no tariffs on gold-related products, further bolster its status as a global hub for gold trade. As Blue Hat positions itself in this vibrant market, it aims to provide long-term value to shareholders through innovative trading strategies and operational excellence.

MWN-AI** Analysis

Blue Hat Interactive Entertainment Technology's recent establishment of its Malaysian subsidiary, GOLDEN ALPHA STRATEGY SDN. BHD., represents a strategic move into a rapidly growing gold market, positioning itself favorably against global economic trends. Given the reported 38% increase in demand for gold bars and coins in Malaysia over the past year, along with a solid annual growth forecast for the gold jewelry retail sector, investors should closely monitor the implications of this expansion.

The Malaysian market showcases tremendous potential, bolstered by favorable governmental policies such as tax exemptions on gold imports and exports. This removes significant transaction costs often associated with gold trading and positions Malaysia as an attractive hub for gold entrepreneurs and investors. Coupled with Penang’s established gold manufacturing capabilities—which contribute 80% of national gold jewelry production—Blue Hat is strategically positioned to capitalize on this market environment.

Moreover, the transition toward digital investment avenues, like bank gold savings accounts and gold ETFs, diversifies market participation. The influx of younger investors through these channels could enhance liquidity and broaden the investor base, underpinning increased demand.

However, while Blue Hat’s commitment to expanding its gold trade business is promising, prospective investors should note the inherent risks highlighted in recent disclosures, particularly regarding market volatility and competitive dynamics. The company must effectively manage these risks while integrating local supply chain resources to optimize operational efficiency.

As the gold market continues to evolve, particularly in Southeast Asia, investors should consider taking a measured approach. Keeping a close watch on Blue Hat’s performance in the Malaysian gold sector could reveal significant growth opportunities, particularly if market conditions remain favorable. Diversification within the precious metals space may also provide investors with a hedge against volatility, reinforcing the opportunity presented by Blue Hat’s strategic entry into this burgeoning market.

**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.

Source: GlobeNewswire

XIAMEN, China, Dec. 10, 2025 (GLOBE NEWSWIRE) -- Blue Hat Interactive Entertainment Technology (“Blue Hat” or the “Company”) (NASDAQ: BHAT) announced the official establishment of its Malaysian subsidiary, GOLDEN ALPHA STRATEGY SDN. BHD., in Penang. This marks the company's full-scale entry into the Southeast Asian gold market with Malaysia at its core. Against the backdrop of sustained global gold market activity, Malaysia demonstrates strong growth potential. From Q3 2024 to Q3 2025, demand for gold bars and coins in Malaysia increased by over 38%, positioning its market size within the global top five. Data from the World Gold Council further corroborates this trend, showing that Malaysia's gold investment demand reached 2.5 tonnes in Q1 2025, a year-on-year increase of 34% [1]. This series of data indicate that Malaysian market exhibits significant resilience and growth potential even in a high-price gold environment.

The appeal of Malaysian market stems not only from robust demand but also from its solid industrial foundation and clear development prospects. As a global significant gold processing and manufacturing hub, Malaysia possesses a complete industry chain from production to retail. Penang stands as the core of the country's gold manufacturing sector, contributing approximately 80% of its gold jewelry production. Industry analysis forecasts that Malaysian gold jewelry retail market is expected to continue expanding at a compound annual growth rate (CAGR) of 6.3%, projected to grow from RM 18.3 billion in 2025 to RM 23.4 billion in 2029 [2]. Concurrently, the rise of digital investment channels, such as bank gold savings accounts and gold ETFs, is attracting more young investors, forming a "dual-engine" for market growth alongside traditional physical retail.

On the policy front, Malaysia offers a highly favorable business environment for the gold market. There is no import or export tariffs on gold bars and jewellery. Products meeting the "Investment Precious Metals (IPM)" standard are fully tax-exempt, and gold jewellery is also exempt from the Sales and Service Tax (SST) [3]. These policies significantly reduce transaction costs and industry friction, enhancing Malaysia's competitiveness to be a global gold trade and investment hub.

Guided by Blue Hat's strategy to "resolutely expand the scale of gold trade," the Southeast Asian market, centered in Malaysia, has become a crucial step in the Company's global expansion. Leveraging on Penang's mature industrial ecosystem and regional influence, the company will continue to deepen its gold trade business in Malaysia, integrate local high-quality channel and supply chain resources, and build a stable and efficient operational system.

Chen Xiaodong, CEO of Blue Hat, stated, "Since Blue Hat formally commences its gold trade business, the company has cumulatively completed transactions of 200,000 grams. We believe that effectively integrating channel resources for gold trading will further solidify the company's business moat. On this foundation, Blue Hat is committed to delivering long-term value to shareholders and investors through holding and trading gold."

Reference
[1] World Gold Council. Global Gold Demand Trends Report, First Quarter 2025.
[2] "Malaysia's Gold Industry Continues to Heat Up, Digital Investment and Physical Retail Advance Together," Financial Times, https://businesstimescn.com/articles/621961.html
[3] "Gold not subject to SST due to investment, cultural, economic reasons, says Treasury sec-gen."

About Blue Hat

Blue Hat, through its subsidiaries, operates a comprehensive gold trading business. Our core business model is built upon physical gold trading, gold derivatives trading, and the development of innovative, AI-enabled trading platforms. Our operations center on gold trading and related services, with strategic initiatives in gold supply chain services, intelligent trading platforms, gold derivatives, and the tokenization of gold as Real World Assets (RWA). For more information, please visit the Company’s investor relations website at http://ir.bluehatgroup.com. The Company routinely provides important information on its website.

Forward-Looking Statements

This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements are inherently uncertain as they are based on current expectations and assumptions concerning future events or future performance of the Company. Readers are cautioned not to place undue reliance on these forward-looking statements, which are only predictions and speak only as of the date hereof. In evaluating such statements, prospective investors should review carefully various risks and uncertainties identified in this release and matters set in the Company’s SEC filings. These risks and uncertainties could cause the Company’s actual results to differ materially from those indicated in its forward-looking statements.

Contacts:

Blue Hat Interactive Entertainment Technology
Phone: +86 (592) 228-0010
Email: ir@bluehatgroup.net


FAQ**

How does Blue Hat Interactive Entertainment Technology BHAT plan to leverage Penang's industrial ecosystem to strengthen its position in the Southeast Asian gold market?

Blue Hat Interactive Entertainment Technology (BHAT) aims to leverage Penang's robust industrial ecosystem by collaborating with local technology firms and utilizing advanced manufacturing capabilities to enhance its production processes and innovation in the Southeast Asian gold market.

What specific strategies will Blue Hat Interactive Entertainment Technology BHAT employ to integrate local high-quality channel and supply chain resources in Malaysia's gold trade?

Blue Hat Interactive Entertainment Technology BHAT will collaborate with local partners, leverage technology for efficient supply chain management, and implement tailored marketing strategies to enhance distribution and accessibility within Malaysia's gold trade.

Given Malaysia's favorable tax policies for gold trading, how does Blue Hat Interactive Entertainment Technology BHAT anticipate these conditions impacting its overall profitability and market expansion?

Blue Hat Interactive Entertainment Technology (BHAT) anticipates that Malaysia's favorable tax policies for gold trading will enhance its overall profitability and facilitate market expansion by reducing operational costs and attracting more investors in the gold trading sector.

With a projected CAGR of 6.3% for Malaysia's gold jewelry retail market, how does Blue Hat Interactive Entertainment Technology BHAT view the long-term growth potential of digital investment channels in this sector?

Blue Hat Interactive Entertainment Technology (BHAT) sees substantial long-term growth potential in digital investment channels within Malaysia's gold jewelry retail market, leveraging the projected 6.3% CAGR to enhance engagement and accessibility for consumers.

**MWN-AI FAQ is based on asking OpenAI questions about Blue Hat Interactive Entertainment Technology (NASDAQ: BHAT).

Blue Hat Interactive Entertainment Technology

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