Huobi Tech Reveals 4 Crypto Funds - Offering New Investment Opportunities.
2021-04-22 | Mike Hallen
Huobi Asset Management, a subsidiary of Hong Kong-listed Huobi Tech, has revealed 4 crypto funds, offering the existing traditional asset managers new ways
to invest into Bitcoin [BTC, +0.26%], Ethereum [ETH, +10.36%]
& the booming cryptocurrency mining businesses.
The new offerings embody
a personal equity fund
within the global cryptocurrency mining businesses, an actively managed crypto fund, and two funds
that can invest directly in Bitcoin and Ethereum. The funds are
open to institutional investors
like family offices, asset managers, and high-net-worth individuals.
Huobi Tech
is among the latest
to draw in asset allocators from
the normal financial services industry in
Hong Kong. Earlier in September 2019, the city’s financial watchdog, the SFC [Securities and Futures Commission],
suggested a transparent regulatory framework for cryptocurrencies
and began dispensing virtual asset licenses to crypto trading platforms, custodians as well as crypto fund managers.
The move came after Huobi Tech
acquired the virtual asset license from SFC earlier in the month of March, which indeed permits the firm
to line up and operate funds whose underlying assets are crypto assets.
Huobi Tech, formerly
referred to as the public electronic appliance company Patronics, was acquired by cryptocurrency exchange Huobi’s founder Leon Li through a reverse takeover in 2018.
The cryptocurrency asset manager has secured $50 Mln across the four funds and aims to double funding
within the mere future, Lily Zhang, CFO of Huobi Tech, revealed within his recent interview.
The private equity fund will invest
within a sort of mining services along with
the availability chain, including mining machine manufacturers, mining pools, and mining farm operators in China
and therefore the international market,
consistent with Zhang.
The PE fund
won't invest
publicly in crypto mining firms
like Riot or Hut8. The firm’s actively managed cryptocurrency fund, Multi-Strategy Virtual Assets Fund, plans
to form investments within a
mixture of crypto assets. Zhang declined to disclose the management fees for the four funds.
“The Bitcoin and Ethereum tracker funds are fully compliant under the financial regulations in
Hong Kong and offer traditional investors a more liquid and compliant channel to directly invest in
crypto assets,” Zhang revealed, noting these tracker funds will permit investors to withdraw their shares
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