Hong Kong-based digital asset firm HashKey Group has launched a new wealth management platform for professional and institutional investors.
In an April 14 announcement, HashKey cited “huge investor demand for access to virtual assets” as the reason for its foray into wealth management.
Deng Chao, chief executive of HashKey Capital, the group’s venture capital arm, said the service enables it to provide solutions that help tap “the growing opportunities in virtual assets.” HashKey points to a 2022 study by consulting firm Boston Consulting Group, which found that 0.3 percent of personal wealth is invested in cryptocurrencies, compared with 25 percent in stocks.
It claims this indicates “potentially strong future demand for virtual assets,” a sentiment expressed by BSG when the report was originally released. On Sept. 13, HashKey announced it had received a “Type 9 Asset Management License” from Hong Kong’s Securities and Futures Commission, allowing it to manage portfolios consisting only of virtual assets and potentially paving the way for its latest offering. In the latest announcement, HashKey also noted that “recent challenges in the crypto market have highlighted the need for deep and reliable liquidity.”
In response, HashKey said it would expand its over-the-counter trading services by expanding the number of tokens in the spot market and increasing its liquidity coverage to 24/7. On Jan. 17, HashKey closed a $500 million investment round for a fund it plans to use to help drive mass adoption of blockchain and crypto.
