Hong Kong-Based HashKey Capital’s Fund to Diversify into Altcoins

According to a recent Reuters report, Hong Kong-based digital assets financial services firm HashKey Capital’s regulated fund will allocate a significant portion of its assets to altcoins. The fund intends to diversify its investments beyond bitcoin (BTC) and ether (ETH), the two largest cryptocurrencies.

Jupiter Zheng, the portfolio manager, stated that less than half of the fund’s investments will be in bitcoin and ether. This strategy allows for the allocation of resources to smaller cap assets. Altcoin is a term used to refer to cryptocurrencies other than bitcoin and it represents a considerable portion of the overall market cap.

The fund, which officially launched last Friday, has already attracted high-net-worth individuals and investment firms catering to affluent Asian families. HashKey Capital aims to raise $100 million for this fund that focuses solely on digital assets. Hong Kong’s establishment of a regulatory framework for digital assets has played a role in the revitalization of the region as a global crypto hub.

Despite CoinDesk’s attempt to seek further comments, HashKey Capital has yet to respond with additional information regarding the fund.

It is noteworthy that Hong Kong’s success in regulating cryptocurrencies can potentially serve as a lesson for New York. The regulatory framework established in Hong Kong has contributed to the resurgence of the city as a dominant player in the global crypto industry.

Sources:
– Reuters article: [insert source article URL]
– CoinDesk’s request for comment
– Hong Kong’s digital asset regulatory framework