Huobi Founder Li Lin to Launch $1 Billion Ethereum Investment Fund

Huobi founder Li Lin, through his firm Avenir Capital, is set to launch a $1 billion Ethereum investment fund, having already secured the full commitment. Li has partnered with notable Asian crypto investors: Shen Bo (Fenbushi Capital co-founder), Xiao Feng (HashKey Group CEO), and Cai Wensheng (Meitu founder). The fund's capital is sourced from Avenir Capital ($200 million), HongShan Capital Group (formerly Sequoia China, $500 million), and other Asian institutions. The group plans to acquire a Nasdaq-listed shell company to structure the fund for regulatory compliance and transparency.

The move reflects a growing institutional preference for Ethereum over Bitcoin, driven by ETH's staking rewards (3%-6% annual yield) which Bitcoin lacks, and tightening supply as nearly 30% of ETH is staked. Ethereum ETFs have recently surpassed Bitcoin ETFs in assets under management. Li Lin's fund joins a trend of corporate treasury adoption, where companies increasingly hold ETH as a productive asset. Hong Kong serves as the regulatory base for this venture, leveraging its clear licensing framework.

The launch signals Ethereum's maturation into an institutional asset class, validating its utility beyond a speculative investment. The market awaits the official announcement for further details on the fund's structure and strategy, while analysts project potential price targets between $7,000 and $10,000 for ETH by the end of 2025.

(Source：Brave New Coin)