Through his company Avenir Capital, the founder of Huobi is reportedly seeking to set up a $1 billion Ethereum Treasury Company. What do we know?
Huobi founder working to create a major Ethereum Treasury Company
Li Lin, founder of the Huobi cryptocurrency exchange, now known as HTX and under the control of Justin Sun, plans to launch an Ethereum Treasury Company alongside other players in the ecosystem.
Sources close to the matter have reported to Bloomberg that Li Lin’s investment company, Avenir Capital, has partnered with investor Shen Bo, Fenbushi Capital co-founder Xia Feng, HashKey Group CEO, and Cai Wensheng, a major Chinese cryptocurrency investor.
In total, the group has reportedly already raised $1 billion, of which $200 million was provided by Avenir Capital and $500 million by Asian institutional investors.
Once again, the goal would be to acquire a publicly traded company to set up this Ethereum Treasury Company. While discussions are still ongoing, the company in question is believed to be listed on the Nasdaq. Although it is still too early to tell, it is likely that the company in question is, as is often the case in such situations, a company whose share price has been struggling for some time.
If the project goes ahead and the aforementioned $1 billion is used in its entirety to purchase ETH, this would position the new player as the third-largest Ethereum Treasury Company behind Sharplink, according to data from CoinGecko:
For its part, ETH is trading at $4,042 at the time of writing, up 4% over the last 24 hours.
