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HashKey launches wealth management service, citing ‘significant’ demand

The Cointelegraph ​

Cryptocoins News / The Cointelegraph ​ 110 Views

Hong Kong’s HashKey recently received a number of licenses from local regulators, allowing it to expand its range of products and services.

Hong Kong-based digital asset firm HashKey Group has launched a new wealth management platform geared toward professional and institutional investors.

In an April 14 announcement, HashKey cited “significant demand from investors to access virtual assets” as the reason for its move into the wealth management space.

Deng Chao, the CEO of the group’s venture capital arm, HashKey Capital, said the service allows it to offer solutions to help tap into the “growing opportunities of virtual assets.”

HashKey pointed to a 2022 study from consultancy firm Boston Consulting Group, which found 0.3% of individual wealth is invested in crypto compared to the 25% invested in equities.

A screenshot from BSG’s 2022 report highlighting the growth potential for crypto. Source: BSG

It claims this signals there is “potential robust demand for virtual assets in the future,” a sentiment that was shared by BSG when it initially published the report.

On Sept. 13, HashKey announced that it had been granted a “Type 9 asset management license” by Hong Kong’s Securities and Futures Commission, allowing it to manage portfolios that only contain virtual assets and likely paved the way for its latest offering.

Related: Hong Kong virtual bank to offer crypto conversions and accounts: Report

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 be expanding its over-the-counter trading service by expanding the number of tokens in its spot market and increasing its liquidity coverage to 24/7.

On Jan. 17 HashKey closed a $500 million investment round for a fund that it plans to use to help push for mass adoption of blockchain and crypto technologies.

Cointelegraph contacted HashKey for comment but did not immediately receive a response.

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