Is China using US Bitcoin ETFs as a backdoor? Mystery Hong Kong firm invested $436M in BlackRock’s IBIT

A previously unknown Hong Kong firm, Laurore Ltd, has disclosed a significant $436 million investment in BlackRock’s iShares Bitcoin Trust (IBIT), raising questions about potential Chinese capital flowing into the cryptocurrency market through US-based ETFs. The firm’s structure, with a director named Zhang Hui and a limited digital footprint, suggests it may be designed to bypass capital controls or reputational risks. While the ultimate beneficial owners remain unclear, experts suggest this could be an early sign of institutional Chinese investment in Bitcoin via regulated US ETFs, despite China’s restrictive stance on crypto. Other Hong Kong firms, like Avenir Tech Ltd and Yong Rong Asset Management Ltd, have also made similar investments, drawn by the low fees and high volume of US ETFs. Hong Kong’s distinct regulatory environment, which is more open to digital assets than mainland China, allows it to serve as a bridge for capital flows, even as Beijing maintains a firm ban on crypto trading and tokenization.

(Source：CryptoSlate)