HashKey Group, a digital asset firm based in Hong Kong, has recently been granted several licenses by local regulators, enabling it to widen its range of services and products. One of its new offerings is a wealth management platform aimed at institutional and professional investors.
The move was motivated by “significant demand from investors to access virtual assets,” according to an April 14 announcement by HashKey. The firm’s CEO, Deng Chao, said that the service would allow them to capitalize on the “growing opportunities of virtual assets” and provide solutions for this market.
HashKey also referenced a 2022 study by Boston Consulting Group that found that only 0.3% of individual wealth is invested in cryptocurrency, compared to 25% invested in equities. The firm sees this as a positive indication of the potential for future robust demand for virtual assets, a sentiment that was shared by BSG in its report.
HashKey’s latest offering was made possible by its Type 9 asset management license, which was granted by Hong Kong’s Securities and Futures Commission on Sept. 13. The license allows the firm to manage portfolios that solely contain virtual assets.
Additionally, HashKey noted that recent challenges in the crypto market have highlighted the need for deep and reliable liquidity. As a result, it plans to expand its over-the-counter trading service by increasing the number of tokens in its spot market and increasing its liquidity coverage to 24/7.
Finally, on Jan. 17, HashKey closed a $500 million investment round for a fund that it intends to use to promote the widespread adoption of blockchain and cryptocurrency technologies.