Categories: Payment system news

China Financial Leasing Group to Raise $11M for Crypto Investment

Hong Kong-listed company China Financial Leasing Group (2312) says it plan to raise around 86.5 million Hong Kong dollars ($11.1 million), from which it will build a cryptocurrency investment platform.

China Financial will raise the capital through a new share subscription, issuing over 69 million new shares at a price of 1.25 Hong Kong dollars each, according to a filing with the Hong Kong Stock Exchange.

Approximately 94% of the net proceeds from the raise will be used for investment in securities of company in various sectors, with a focus on the crypto and blockchain industries and artificial intelligence (AI).

The company added that it intends to focus on “establishing a crypto and AI digital asset investment platform,” in the announcement on Sunday.

Hong Kong has been at the forefront of jurisdictions advancing their regulation of the crypto industry, having set out plans in June to establish a regime to oversee exchanges, custodians, stablecoins and other digital asset service providers.

China Financial jumped some 34% on Monday, closing at 1.72 Hong Kong dollars, compared to the Hang Seng Index closing 0.67% lower.

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