Hong Kong’s financial world is buzzing. China Financial Leasing Group, a company whose shares trade on the Hong Kong Stock Exchange, just unveiled big plans. They want to raise about $11.1 million U.S. dollars. This money isn’t for old business. It’s earmarked for exciting new areas: cryptocurrencies and artificial intelligence, or AI.
The company plans to sell over 69 million new shares. Each share will go for 1.25 Hong Kong dollars. This move will increase the company’s total shares by about 20%. The bulk of the money, around 94% of the net funds, will support a grand vision. China Financial Leasing Group wants to become an “innovative digital asset holding investment group.” This means they will put money into things like crypto exchanges, stablecoins, and decentralized finance (DeFi). They also plan to invest in major digital assets such as Bitcoin (BTC) and Ethereum (ETH), along with non-fungible tokens (NFTs) and other companies tied to blockchain and AI.
An investment firm called Innoval Capital is buying these new shares. Innoval Capital is based in the British Virgin Islands. It was founded by Moore Xin Jin, who also serves as the CEO of Antalpha. Antalpha is no small player; it manages more than $1.6 billion U.S. dollars in assets. After this deal, Innoval Capital will own 16.7% of China Financial Leasing Group. This step truly shows the company’s shift toward this new crypto-AI investment model.
Changing Regulatory Tides
This bold announcement comes at a good time for Hong Kong. The city is building a friendly environment for crypto, quite different from the tight rules in mainland China. Last June, local authorities shared their vision. They aim to supervise crypto exchanges, custodians, stablecoins, and other digital asset service providers. This push helps tokenization grow and aims to make Hong Kong a leader in crypto rules. For many, this looks like a chance to attract global investment, even in a market known for its ups and downs.
Investors reacted quickly to the news. On Monday, China Financial Leasing Group’s shares jumped by 34%. They closed at 1.72 Hong Kong dollars. Meanwhile, the broader Hang Seng Index saw a slight dip of 0.67%. The company currently has a market value of roughly 555 million Hong Kong dollars, which is about $71.3 million U.S. dollars. This new move could spark more interest in combining traditional finance with new technologies.
The company hasn’t given many details about specific risks or a clear timeline for these plans. Still, their effort reflects strong confidence in Hong Kong’s new crypto rules. This could inspire other businesses across Asia to explore the space where crypto meets AI. After all, the global digital asset market is now worth over $4 trillion. China Financial Leasing Group isn’t just trying to add new investments. They are aiming to lead the way in a financial world that’s becoming more and more digital.