HashKey's New $100M Fund to Focus on Altcoins, With Less Than 50% Allocation for BTC and ETH
HashKey Capital, the investment arm of Hong Kong-based crypto giant HashKey Group, has allocated a significant portion of its newly launched to major altcoins.
The fund aims to invest less than 50% of its allocation in Bitcoin (BTC) and Ethereum (ETH), the two largest cryptocurrencies, Jupiter Zheng, the portfolio manager of the fund, said in a recent interview with Reuters.
The fund has already secured potential clients, primarily high-net-worth individuals and investment firms serving wealthy Asian families, Zheng added.
HashKey Capital, managing over $1 billion in assets, has set a target of raising $100 million for the fund over the next 12 months.
Alongside crypto investments, a portion of the fund's holdings will be in cash.
The company is also developing distribution channels with offshore Chinese financial institutions.
Zheng said that weakness in the Hong Kong stock market has pushed investors to seek diversified strategies.
"We see untapped demand from professional investors who wish to chase above-market returns in crypto."
He also claimed that the price of cryptocurrencies is bottoming out as industry liquidity improves, citing factors such as the peaking US interest rates and large US asset managers filing for spot Bitcoin ETFs.
Last year, HashKey announced that it had been granted a “Type 9 asset management license” by Hong Kong’s Securities and Futures Commission, allowing it to manage portfolios that only contain virtual assets and likely paved the way for its latest offering.
Earlier this year, the company closed a $500 million investment round for a fund that will invest in infrastructure, toolings, and applications that will help push the mass adoption of blockchain and crypto technologies.
HashKey Group is
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