HashKey Capital has made headlines by securing a substantial $250 million investment for a new crypto fund, leading to a notable increase in its stock price on the Hong Kong Stock Exchange. Following the announcement on December 24, the company”s shares surged by over 4%, closing at 5.73 HKD.
The new fund aims for a total size of $500 million, buoyed by strong interest from institutional investors. Although specific investors were not disclosed, HashKey noted that the commitments came from a diverse range of sources, including global institutional players, family offices, and high-net-worth individuals.
This fundraising initiative arrives amid a challenging liquidity environment within the broader crypto market. HashKey has observed a shift as long-term institutional capital increasingly enters the space, demonstrating a growing confidence in the potential of blockchain technology.
HashKey”s new fund will adopt a multi-strategy investment approach, concentrating on blockchain infrastructure and scalable solutions with an eye toward mass adoption. The firm expects to continue attracting additional capital to reach its $500 million target in future fundraising rounds.
Deng Chao, CEO of HashKey Capital, commented on the significance of the new funding, stating, “With $250 million in new capital, we are uniquely positioned to capture the massive growth occurring in emerging markets.” He emphasized that these regions serve as vital testing grounds for real-world applications of blockchain technology.
HashKey Capital has established itself as a prominent institutional investor in Asia”s cryptocurrency landscape since its inception in 2018. The firm currently manages assets exceeding $1 billion and has supported over 400 projects globally. Its initial fund has achieved an impressive distributed-to-paid-in ratio exceeding 10x, highlighting its strong investment performance.
Despite recent challenges, including a dip in stock price post-initial public offering (IPO), today”s stock performance provides a glimmer of hope for investors. HashKey began trading on the Hong Kong Stock Exchange after completing a $206 million IPO but has been trading below its IPO price of HK$6.68 per share.
This development reflects the ongoing evolution of the cryptocurrency market, as institutional interest continues to shape investment strategies and opportunities within the sector.
