HashKey Capital was reinstated in 2022

Source: HashKey Capital

2022 will be our seventh year of focused blockchain and crypto investment. Thanks to all entrepreneurs and investors for their trust and support. Currently, HashKey Capital has more than $1 billion in assets under management.

In 2022, HashKey Capital continues to deepen its global investments. Covering the whole ecosystem of blockchain and encryption. Among them, focus on the layout of infrastructure, protocol, data layer, Web3 and other tracks, while paying attention to data security, hosting, DID, NFT, Metaverse, GameFi, applications and other fields. Vertical and horizontal combination of both:

Longitudinal:

- Deeply cultivate the technical community and discover the new trends and new technical directions in the first time

- Research driven investment, referring to independent reports of the research team, digging deep into vertical tracks such as ZK, cross-chain, MPC, data, games, etc.

Horizontal:

- Through Hackathons, Ecological Fund, Grant and other means, established long-term and in-depth cooperation with several major public chain foundations

- Work closely with global peer investment institutions to share quality projects and promote their rapid growth

- Promote the overall coverage of quality projects by recommending new projects by investee Ecology (over 300 investee enterprises)

HashKey Capital = hexagon VC?

Throw early. Early track full dig

Capture high returns for investors with advanced industry recognition

Among the projects invested, 68 projects received the first round of financing

At the same time, in the early stage, help the project to complete the long-term development of the strategic vision

l Post-investment management creates value

HashKey escorts the steady growth of enterprises

According to the different stages of the project to provide a full range of stepped after investment services

For the project docking resources, recruitment, reputation, but also urge its compliance operation

In 2022, 93 invested enterprises received follow-up financing

l Successfully completed the fundraising of Phase III Fund    

In 2022, we launched the HashKey Phase 3 fund,

Successfully completed a fundraising of nearly 500 million dollars,

It has been recognized by institutional investors such as sovereign funds and well-known Internet giants

l Two places compliance licence approved

Hong Kong: License 9 upgraded to 100% investment in crypto assets

Singapore: CMS licence approved in principle

l Industry Blockbuster List "on the list"

CB Insights "2022 Q3 Top 10 Global Cryptofunds"

Fintech News HK "Top 10 Investment Institutions in Hong Kong Fintech Industry 2022"

Blockdata "Top 10 Asian Cryptographic and blockchain Investment Institutions"

l The industry's impact has escalated again

- Participate in Point Zero Forum, Singapore Fintech Festival, Hong Kong Fintech Week, Hong  Top industry events such as Kong Fintech Week and Wanxiang Blockchain Global Summit

- Hold flagship activities such as Founders Day and Founders' Club to contribute cutting-edge knowledge to the industry ecology and provide an open platform for communication and cooperation

For the past 2022, the coming 2023

The HashKey Management Team has something to say:

  Deng Chao "DC"

Singapore head of HashKey Group

CEO, HashKey Capital

"In 2018, HashKey Capital was officially established. Since then, our mission has been to serve as a trustworthy guide for institutional and professional investors, to help investors capture high-growth opportunities in blockchain and digital asset industry with cutting-edge industry cognition and solid ecological resources.

HashKey Capital's first steps were to apply to regulators in Hong Kong and Singapore for local licences and prove the value of working with HashKey to a variety of top global service providers. With 2023 just around the corner, we currently have a diversified asset management platform that includes strategies from active to venture capital and have the privilege of managing over $1 billion in client assets.

Over the past five years, HashKey has witnessed disruptive technological innovation in the blockchain industry, and after going through at least three cycles, he has mastered the art of "meditating" in "flowing water" (market fluctuations). In hundreds of meetings with institutional investors, service providers, investment peers and regulators, we have consistently advocated and emphasized that the most critical things for digital assets to move to institutional applications are: regulation, a belief in compliance, strong operational and risk management capabilities, institutional service providers, open access to information, and experienced investment and operations teams.

Events in the second half of 2022, such as Celcius and FTX, have left us frustrated and disappointed. It is clear that the above principles are being ignored by these companies, and highlights the fact that there are still some blockchain industry participants who lack compliance awareness to date.

At HashKey Capital, there is a team of more than 30 experts who are fully focused on their respective fields and drive the company's robust growth in operations, finance, legal, risk compliance, technology research, current asset management and marketing. As a Class 9 licensed asset manager under the jurisdiction of the Securities and Futures Commission of Hong Kong and a licensed fund manager recognized by the Monetary Authority of Singapore, the company's rigorous management regime provides regulatory transparency to our financial and business operations, we adhere to robust corporate compliance processes and employ rigorous cyber security governance.

As a regulatory entity of the Securities and Futures Commission of Hong Kong and the Monetary Authority of Singapore, HashKey Capital is required to have an independent auditor give an opinion on the financial statements (we work with Deloitte, one of the big Four audit firms).

At the same time, HashKey Capital entrusts regulated and qualified custodians to maintain and secure client assets. The assets of the fund are absolutely separate from those of the custodian. We require custodian providers to provide insurance, set up independent fund managers for all funds, and conduct KYC and AML checks before investors invest. In addition, our fund does not borrow, lend or use leverage in any way.

While FTX's failure calls for a collective pause and reflection among all serious cryptocurrency market participants, we continue to believe that the crypto industry's move to the mainstream is not only possible, but that its time has come.

We remain confident about 2023. Despite the constant turbulence, the crypto and blockchain industry is not able to stop the pace of improvement and evolution.

In 2023, we will continue to invest responsibly, conducting thorough due diligence before investing to harvest high potential targets that are in line with HashKey's goals and values. We will also continue to grow together with the existing portfolio through continuous active management and resource support. In order to better serve our investees, we will evaluate and adjust our team structure to ensure that we have the necessary resources and expertise to create value for our investees. In addition, we will focus on our investments in emerging markets and continue to build relationships with key developer communities, including active participation in industry events and working with other organizations to help brands build industry cache among specific target groups."  

  James Boettcher (USA)

HashKey  Capital senior Advisor

Co-founder, Focus Ventures

「 2022 年，我们看到行业中对投资者的不诚实行为之多，超出了所有人的预期。但 FTX、Voyager、TerraLuna、Celsius 和其他公司的倒闭并不影响区块链技术的根本优势，许多资深技术人士仍然相信，开放、分布式账本和无许可、抗审查、信任最小化的计算正在重塑全球经济的方方面面。

Indeed, in the long term, the FTX crash should accelerate the mass adoption of cryptocurrencies, bringing more regulation into the space, which many advocates would welcome. Despite the "irrational exuberance" that caused the dotcom bubble to burst in the early 2000s, TCP/IP and the technology stack built on top of it actually revolutionized the way most businesses and nearly all humans communicate, entertain, and educate. Much of this innovation has been driven by venture capitalists, and I expect the same to be true in terms of Web3 innovation and development. Today, we see the modularity of open finance or financial primitives leading to meaningful developments in the development of programmable currencies and transactions, lending, mobile payments, and other services such as partial ownership of real world assets. The second is the multiple advances in Web3, which uses artificial intelligence, machine learning and blockchain technology to enable developers to build decentralized applications (dApps) powered by blockchain technology. These dApps can operate independently without the need for a centralized organization, giving users sovereignty over their personal data and thus allowing users to capture some of the value of their data.

For example, one trend is for mainstream companies or groups, such as the Golden State Warriors, Hermes and others, to use NFT for brand building. These NFT can be applied for many things, such as paying royalties to the original author at the same time they are sold. By the end of 2020, there are 103 enterprises and 45 crypto project unicorns, as well as 23 public companies, and the trend has only just begun.

So my view is that while the industry is still in its early stages, Web3, blockchain will completely change the existing traditional processes in other industries and in turn create huge venture capital opportunities globally."

Arron Liu (Singapore)

HashKey  Capital senior Advisor

Former head of post-investment management at PIMCO Asia x Japan

Former Chairman of the Board of Trustees of CFA Institute

「 人们现在对区块链和 Web3 的关注与过去对新兴技术的炒作类似，有时剧烈的变化和调整也会在新周期内随之而来。

A new cycle is usually defined by three phases: enthusiasm, hype and eventual integration with reality. Blockchain, Web3, and tokenized commercialization processes are no different in reflecting this behavioral trend. What may be different now is that this cycle has been catalyzed by more than a decade of cheap capital brought about by near-zero global interest rates, but it has also fuelled bubbles in almost every sector of the capital markets. The pace of technological development has outpaced the ability of regulators to evaluate new technologies and monitor and control them.

This is similar to the early development of derivatives, structured products, securitised investments, etc. You may recall how the public denounced derivatives as weapons of mass destruction, especially instances such as Black Monday (1988), LTCM (1997), and even the global financial crisis (2008). Yet in fact, despite these crises, derivatives have evolved into one of the largest and most important financial instruments for risk management, liquidity and price discovery. So the double-edged sword of technology will continue to excite both believers and opponents.

Ultimately, what really matters is whether "the end justifies the means." Perhaps this is where regulators are most needed to strike a balance, not stifling innovation before they have had a chance to properly assess it. "Good governance is needed, and regulators have an important role to play in ensuring transparency without compromising privacy or raising the cost of innovation."

  Yong Hak Huh (Hong Kong)

HashKey  Capital senior Advisor

Former Hong Kong Monetary Authority official

Jp Morgan Asia M& A. TMT business supervisor

「 2022 年的标志性事件是 FTX、BlockFi、三箭资本、Celsius Network、Terra 和 Luna 的一系列项目和平台倒闭，加速了「加密寒冬」的到来。一些圈外朋友们可能会认为自己就此见证了加密行业的开始和落幕。但我们的团队经历过周期，所以明白春天总是在冬天后来临。虽然今年行业内的几起风波对受影响的投资者来说当然意味着悲剧，但从长远来看，其结果可能最终对行业有利，因为监管和金融安全问题现在将成为行业长远发展的主题。

Of course, the cryptocurrency industry still has a lot of work to do, both in terms of regulation and popularity, before it can become a competitor on the same scale as the current traditional banking system and become an important asset class in institutional investors' portfolios. Encryption and crypto companies need to earn the trust of institutional investors by:

1. Regulatory oversight and compliance: Institutional investors will only trust cryptocurrencies and businesses that are subject to robust regulatory oversight to protect their investments.

2. Credit system: Investors expect investment to be protected by proper credit and debt procedures. Cryptocurrency-related companies need to establish compliance processes to ensure they have the ability to safely manage the capital entrusted to them.

3. Long-term vision: Institutional investors want to invest in companies they can trust and build sustainable long-term relationships with. The company must establish a long-term strategy to assure investors that long-term capital growth is sustainable.

4. Transparent operations: Institutional investors want access to reliable and up-to-date information on the operations of cryptocurrency-related companies to make informed investment decisions."

Through the cold winter, spring is still worth looking forward to.

本文来自投稿，不代表律动 BlockBeats 观点。    

欢迎加入律动 BlockBeats 官方社群：

Telegram 订阅群：https://t.me/theblockbeats

Telegram 交流群：https://t.me/BlockBeats_App

Twitter 官方账号：https://twitter.com/BlockBeatsAsia