Li Lin and Partners Raise $1B to Buy Ethereum

Li Lin and Partners Raise $1B to Buy Ethereum

Major Asian investors join forces to back the project

Key Points

Li Lin, the founder of Huobi and Chairman of Avenir Capital, has launched a $1 billion Ethereum (ETH) trust.
The trust aims to collect and hold Ethereum for long-term institutional investment.
Leading Asian investors are backing the initiative, including HongShan Capital (formerly Sequoia China) and Avenir Capital.
The team also includes Shen Bo of Fenbushi Capital, Xiao Feng of HashKey Group, and Cai Wensheng, founder of Meitu Inc.
The trust is expected to launch soon, with an official announcement coming within weeks.

Building a Regulated Path for Institutions

The group plans to set up the Ethereum trust through a Nasdaq-listed shell company.
This step will help create a regulated structure, making it easier for institutional investors to participate safely.

So far, the project has raised around $1 billion. About $500 million came from HongShan Capital and $200 million from Li Lin’s own Avenir Capital.

The trust will offer regulated exposure to Ethereum, providing investors with an alternative to traditional crypto exchanges.
With the rise of Bitcoin spot ETFs, many institutions are now seeking similar exposure to Ethereum-based assets.

Why It Matters

Ethereum continues to attract strong attention from institutional investors.
As global markets wait for spot Ethereum ETFs, this trust could fill the gap and give investors early access to the asset.
It also shows how Asia’s crypto leaders are positioning themselves ahead of the next big wave in digital finance.

Li Lin’s Track Record

Li Lin founded Huobi in 2013 and turned it into one of the largest crypto exchanges in the world.
After China banned crypto trading in 2021, he sold Huobi to Justin Sun and focused on institutional investment through Avenir Capital.
Today, Avenir manages over $1 billion in Bitcoin ETF holdings, making it one of Asia’s biggest digital-asset investors.

Partners with Deep Crypto Roots

Shen Bo, Xiao Feng, and Cai Wensheng were among China’s earliest Ethereum backers.

Fenbushi Capital, founded by Shen Bo, supported several early blockchain projects.
HashKey Group, led by Xiao Feng, was one of the first firms to earn a virtual-asset license in Hong Kong.
Cai Wensheng has made major investments in crypto through his personal fund.

Together, their experience gives the new trust credibility and deep connections within Asia’s crypto industry.

Ethereum’s Next Institutional Phase

At the Digital Assets Summit (DAS) 2025 in London, industry leaders highlighted Ethereum’s growing importance.
Speakers such as Joseph Lubin (CEO of Consensys) and Joseph Chalom (Co-CEO of SharpLink) said Ethereum’s staking yields and tokenization potential make it the foundation for institutional finance.

They also emphasized that scalability improvements and clearer regulations are boosting investor confidence.
Lubin said Ethereum’s progress in compliance is “opening the door for global institutions.”

The Bigger Picture

The new trust may become one of the largest institutional holders of Ethereum.
If successful, it could inspire similar projects across Asia, Europe, and the US.
It also signals a shift — from crypto being retail-driven to becoming a core institutional asset class.

Ethereum appears ready for its “trillion-dollar phase,” as more investors treat it not just as a digital currency but as the infrastructure of modern finance.