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Huobi’s Grayscale Rival in Asia Sees 21% Surge with 5 Crypto Trusts Running

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Wed, 10/06/2021 - 10:57
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Yuri Molchan
Share price of Huobi's Hong Kong company aims to become Asia's Grayscale with five crypto trusts already working for local investors
Huobi’s Grayscale Rival in Asia Sees 21% Surge with 5 Crypto Trusts Running
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According to Chinese crypto blogger and journalist Colin Wu, a subsidiary of Huobi—Huobi Tech—sees a rise of its share price by 21% today, aiming to become the largest crypto custody company in Asia, a local rival of Grayscale.

Wu did not name the company directly, but he most likely meant Huobi Tech's Huobi Trust Hong Kong.

Huobi Tech shares soar 21%

Journalist Colin Wu has tweeted that today the share price of Huobi's Hong Kong-listed Huobi Technology Holdings Limited (Huobi Tech) grew 21%.

A press release published about two weeks ago states that the company intends to become the flagship platform for virtual asset services and was working on its crypto trust and custodian business. The services will be provided by Huobi Trust Hong Kong and Huobi Trust US.

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Chart via yahoo.finance

Huobi Trust Hong Kong holds over $1 billion in crypto

Huobi Trust Hong Kong will provide regulation-compliant crypto custody services to Asian investors. In late August, the company held over $1 billion in digital assets.

Huobi Trust Hong Kong was registered in HK on April 29 of this year, gaining the necessary licenses from local regulators.

Colin Wu tweeted that, by now, the company has five cryptocurrency trusts running and intends to become a Grayscale rival in Asia.

Besides, now that Huobi exchange is withdrawing from mainland China and dropping all of its customers in the region, Wu believes that its regulatory-compliant business in Hong Kong may gain more attention.

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Grayscale holds $44.8 billion in crypto

According to a tweet published by Grayscale on Oct. 5, the Barry Silbert-affiliated asset management company holds a whopping $44.8 billion worth of cryptocurrencies.

The company offers investors exposure to crypto assets via 13 cryptocurrency trusts. It also runs a DeFi Fund and a Digital Large Cap Fund.

Among the investors in Grayscale trusts are Cathie Woods' ARK and banking giant Morgan Stanley. As reported by U.Today earlier, the banking conglomerate has increased its stake in Grayscale Bitcoin Trust (the company's leading product) by purchasing another 28,289 GBTC in late June.

Overall, Morgan Stanley Europe Opportunity Fund holds 58,116 GBTC shares worth $2.018 million, as of July 31.

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About the author

Yuri is a crypto journalist interested in technology and technical innovations. He has been in crypto since 2017. Believes that blockchain and cryptocurrencies have a potential to transform the world in the future in many of its aspects. ‘Hodls’ major cryptocurrencies and has written for multiple crypto media outlets. 

His articles have been quoted by such crypto influencers as Tyler Winklevoss, John McAfee, CZ Binance, Max Keiser, etc.

Currently Yuri is a news writer at U.Today and can be contacted at yuri.molchan@u.today.