Huobi Launches 1 Billion USD Blockchain Fund in China
A subsidiary of Huobi China, Huobi Labs, is setting up a 1 billion USD blockchain fund in China to focus the South Korean cryptocurrency exchange’s attention and resources on the Chinese market. The venture would also be partnering with one of the popular social networking platforms in China, Tianya Community Network Technology.
Companies all around the world have shown their interest in the Blockchain technology. While a lot of those firms aren’t sure about the future of Bitcoin, they are willing to place their bets on the benefits of the underlying technology. Supply chain service providers and financial institutions are the industries which can potentially profit the most out of Distributed Ledger Technology (DLT).
There is quite a market for DLT in China and Huobi Labs acknowledges that. Teaming up with Tianya Community Network Technology, the firm has created a new 1 billion USD blockchain fund which would be used to fund startups and would be vital in ensuring that the DLT industry would continue thriving in China.
Huobi Labs would also be shifting its headquarters to Hainan Coast. While the location is still in China, the new location would be closer to Tianya. The two would then collaborate with universities to take blockchain research to an advanced level.
The move help Huobi gain a bigger foothold in the highly competitive space of blockchain in China. Houbi has already made inroads in 130 countries all over the world but competing with the dozens of blockchain ventures in China was difficult. With this move, Huobi can compete better in China.
As for now, it is difficult to say how this move would shape the future of blockchain in China. However, it is certain that the Huobi Labs incubator would help in giving these emerging technologies a better ecosystem.