$1B Ether Trust Strategy: Huobi Founder Partners Crypto Leaders

Huobi Founders and Crypto Elites to Launch $1B Ether Trust Strategy

Ethereum is about to receive a major boost from Asia’s key industry players. As per recent reports, Huobi founder Li Lin is teaming up with top crypto magnates, including Fenbushi Capital’s Shen Bo, HashKey’s Xiao Feng, and Meitu’s Cai Wensheng, to establish a $1 billion Ether Trust Strategy. This underscores the growing influence of ETH among Asia’s institutional giants.

Asia’s Industry Leaders to Launch $1B Ether Trust Strategy

Huobi founder Li Lin, now chairman of Avenir Capital, has reportedly amassed $1 billion for a new Ether Trust Strategy. According to a recent Bloomberg report, Li has partnered with Fenbushi Capital’s Shen Bo, HashKey CEO Xiao Feng, and Meitu founder Cai Wensheng to launch an Ether accumulation strategy via a Nasdaq-listed shell company.

The fundraising includes $500 million from HongShan Capital Group and $200 million from Avenir, with the trust expected to be officially announced in the coming weeks. The team’s goal is to introduce a compliant investment vehicle that steadily accumulates ETH and associated tokens as institutional appetite for crypto continues to grow.

Background- Who is Li Lin?

Notably, Li Lin is the founder of Huobi, a Seychelles-based cryptocurrency exchange, now known as HTX. Although Lin founded the company in 2013, he later sold it to Justin Sun.

This deal led to a lawsuit, where Lin accused Sun of using the term Huobi Global. He initiated a copyright infringement lawsuit against the exchange in Hong Kong. Li asserts that although he sold his majority stake to a Justin Sun-associated entity last November, his company X-Spo still legally owns the “Huobi Global” trademark. He claims the exchange has continued using the brand name without proper authorization.

Growing Adoption of ETH

Significantly, the leaders’ initiative to launch the Ether Trust Strategy underscores the growing significance of Ethereum among institutions. If the investment scales past $1 billion, it could quickly become one of the biggest institutional ETH accumulation vehicles, competing with major holders like BitMine, SharpLink Gaming, and Grayscale’s Ethereum Trust.

With ETH trading under $4,000 since last week’s crash, a price point some investors like Tom Lee consider attractive, accumulation has already picked up. Lee also claimed  that gold could soar past Bitcoin, adding, “Ethereum could flip Bitcoin similar to how Wall Street and equities flipped gold post 71.”

BitMine has been actively buying more ETH, and SharpLink Gaming recently liquidated shares at a premium to expand its treasury. As of now, Bitcoin is the largest ETH holder, with a total holding of 3,032,188 tokens, worth $12.26 billion. In the second spot is SharpLink Gaming, with 840,12 Ether, valued at $3.4 billion.