In a bold move that signals the ongoing maturation of the cryptocurrency market, Huobi founder Li Lin is teaming up with some of Asia’s most influential crypto pioneers to unveil a groundbreaking initiative: a $1 billion digital asset trust focused on accumulating Ether (ETH). This endeavor isn’t just a financial play; it signifies a concerted effort to meet the surging institutional demand for Ethereum.
Imagine a world where the institutional investment landscape in crypto is not just speculation but a robust framework for serious financial engagement. This trust, which is supported by giants in the crypto investment community, is poised to make that a reality. Li is working alongside notable figures like Shen Bo, co-founder of Fenbushi Capital; Xiao Feng, chairman and CEO of HashKey Group; and Cai Wensheng, the founder of the popular photo-editing app Meitu Inc. Each of these influential players brings a wealth of experience in the crypto space, setting the stage for a formidable partnership.
So, why should this matter to you? As institutional interest in Ethereum intensifies, the creation of this trust marks a pivotal moment for ETH. The influx of investor capital is anticipated to bolster Ethereum’s position amid growing financial product offerings. With the ecosystem gearing up for potential approvals of Ethereum-based exchange-traded funds (ETFs) in major markets, this trust could be a game-changer for accessibility and adoption.
According to various sources familiar with the developments, the group plans to structure the Ether trust through a Nasdaq-listed shell company. This innovative strategy aims to provide a regulated framework that makes institutional participation more straightforward and secure. With $1 billion already raised—which includes a significant $500 million from HongShan Capital Group (formerly Sequoia China) and $200 million from Avenir—this initiative is already generating significant buzz. An official announcement is expected to drop in the coming weeks, further piquing interest within the investment community.
NEW: HUOBI FOUNDER LI LIN TO LAUNCH $1B $ETH TRUST WITH EARLY $ETH INVESTORS pic.twitter.com/Yt439nUVrL— The Wolf Of All Streets (@scottmelker) October 17, 2025
For Li Lin, who founded Huobi—a platform that rose to fame as one of the world’s top crypto exchanges—this new venture is a natural progression. After navigating the tumultuous waters of the crypto industry post-2021, when he sold the exchange to entrepreneur Justin Sun, Li established Avenir Capital. This firm quickly became a major player in the Asian market, holding significant assets, particularly in Bitcoin ETFs.
The partners in this initiative are not novices to the crypto scene either. Shen, a seasoned investor from Fenbushi Capital, has a rich history of empowering early blockchain projects. Xiao Feng has been at the forefront of regulatory progress in Hong Kong by securing the territory’s first virtual asset trading license, while Cai Wensheng has consistently made headlines with strategic investments through his personal fund. Together, these leaders encapsulate the pioneering spirit of the early Ethereum adopters.
As the cryptocurrency realm advances, Ethereum is gaining traction as a foundational element of institutional finance. At the recent Digital Assets Summit (DAS) 2025 in London, key figures like Consensys CEO Joseph Lubin shared insights into how Ethereum is positioned for a transformative future. Through discussions on the panel titled “The Path to Trillions: Ethereum’s Institutional Dominance,” the speakers emphasized the importance of on-chain fund issuance, interoperability, and improved regulatory clarity—key factors propelling Ethereum into the forefront of decentralized finance (DeFi) and the tokenization of real-world assets.
Lubin underscored how Ethereum’s ongoing evolution towards enhanced scalability and compliance is rekindling institutional confidence. Reflecting on the crypto market’s recent crash, SharpLink Co-CEO Joseph Chalom referred to it as “a terrible day for humans,” attributing the chaos to leveraged trading practices that can destabilize the market environment.
Looking ahead, the launch of this Ether trust represents not just another investment vehicle but a milestone in the broader acceptance of cryptocurrency among institutional investors. With Ethereum’s potential seemingly boundless, as more financial products emerge, the stage is set for Ethereum to become a cornerstone in institutional portfolios.
If you’re interested in the future of Ethereum and institutional finance, staying informed and engaged will be essential. This news could be just the tip of the iceberg for what’s to come in the crypto investment landscape. We’ve only just begun to scratch the surface of Ethereum’s potential. Will you be part of the journey?