Huobi launches investment arm with $100 million in capital

The operator of the cryptocurrency exchange Huobi is investing $100 million in DeFi projects and M&A deals through a newly created venture arm. CoinDesk, citing the company’s statement.

Huobi Ventures is a wholly owned subsidiary of Huobi Group. It is intended to consolidate the exchange’s venture business. Its portfolio will include Huobi Eco Fund, Huobi Capital and Huobi DeFi Labs.

“We had several teams focused on different investment strategies. By bringing them all under one roof, we will be able to create a more coherent strategy and continue supporting projects that shape the blockchain and DeFi industry,” explained Lili Zhang, the chief financial officer of Huobi Group.

According to the press release, the unit will target young blockchain projects that can be integrated into the exchange’s ecosystem. Through the subsidiary, Huobi also plans to make several strategic acquisitions to broaden its product range.

Huobi Ventures will create a separate $10 million fund to invest in NFT projects and related marketplaces.

According to Huobi Group, it has already invested more than $69 million in blockchain projects and industry media.

Earlier in April, via its Huobi Asset Management attracted $50 million across four cryptocurrency funds. By the third quarter of 2021, the company planned to double the value of assets under management.