Hong Kong Asset Manager Metalpha Secures $5M from Bitmain for Grayscale-Based Fund
By Eliza Gkritsi
May 25, 2023 at 1:15 p.m. UTC
Hong Kong asset management company Metalpha has secured $5 million for its Grayscale-based fund from Bitmain, the world’s largest manufacturer of crypto mining rigs.
Hong Kong-based asset management firm Metalpha has received a $5 million investment from Bitmain for its Grayscale-based fund. Metalpha is partnered with NextGen Digital Venture Limited and is aiming to raise a total of $100 million for its Next Generation Fund I. The fund invests in Grayscale products by using structured derivatives to offer compliant access to mainstream digital asset portfolios in accordance with both US and Hong Kong laws. Investment firm Antalpha, which is affiliated with Bitmain, is a partial owner of Metalpha. The Hong Kong-based asset management company had already raised $20 million towards its $100 million investment target, as of the end of March.
Grayscale is a popular digital asset management company owned by Digital Currency Group, which is CoinDesk’s parent company.
About Metalpha and Bitmain
Metalpha is a Hong Kong-based asset management company, founded in 2008 and known for providing diversified investment opportunities for its clients. Bitmain, on the other hand, is the world’s largest manufacturer of crypto mining rigs and is a notable player in the cryptocurrency space as a provider of hardware and mining services. Antalpha, a Bitmain-affiliated investment firm, acquired a 50% stake in Metalpha back in 2018.
The Impact on the Crypto Industry
Through the Next Generation Fund I, Metalpha aims to provide increased access to mainstream digital asset portfolios for investors, while maintaining full compliance with legal requirements in both Hong Kong and the US. This strategic partnership between Metalpha and Bitmain seems to signal a growing interest in Grayscale products, which are being viewed as attractive investment prospects by institutional investors. With $5 million in funding secured through this Bitmain investment, Metalpha has made significant progress towards its $100 million fundraising goal and is sure to be watched closely by investors and industry analysts alike.
According to https://www.coindesk.com/business/2023/05/25/hong-kong-asset-manager-metalpha-secures-5m-from-bitmain-for-grayscale-based-fund/
The material in this article is written on the basis of another article.