China Renaissance hits paydirt after stablecoin issuer Circle's shares double on debut
The Chinese investment bank said in a filing to the Hong Kong stock exchange on Friday that it had invested in Circle, which was founded in 2013, in 2018 through its Huaxing New Economy Fund.
The investment reflected its 'strong confidence in the growth prospects of the digital asset industry', the statement said.
China Renaissance did not disclose the amount of its investment in Circle. Circle also did not disclose the stake in its initial public offering prospectus, suggesting it was likely to be less than 5 per cent.
China Renaissance was founded in 2005 by renowned deal maker Bao Fan. Photo: Reuters
Circle is the issuer of USDC, the second-largest stablecoin, which accounted for nearly 30 per cent of the market at the end of March. A stablecoin is a type of cryptocurrency designed to maintain a fixed value by being pegged to a reference asset, typically a fiat currency such as the US dollar.
The company's shares soared as much as 235 per cent before closing 168 per cent higher at US$83.23on the first day of trading on the New York Stock Exchange on Thursday.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
South China Morning Post
2 hours ago
- South China Morning Post
China promised the Philippines billions in development aid. Why did it fall so short?
China pledged US$30.5 billion in development aid to the Philippines between 2015 and 2023 – the most for any Southeast Asian country – but only a sliver of that funding ever arrived, according to new data from an Australian think tank report. Advertisement Of the total pledged, just US$700 million was actually disbursed – a shortfall analysts attribute to derailed infrastructure projects, changing political winds in Manila and rising tensions with Beijing. These factors have not only stalled flagship ventures under the Belt and Road Initiative but also cast doubt on the long-term viability of Chinese development finance in the region. The report by the Sydney-based Lowy Institute, released on Sunday, found that while the Philippines received the highest total commitment from China among Southeast Asian nations, it ranked near the bottom in actual disbursements. Indonesia, by contrast, received and spent US$20.3 billion out of the US$20.7 billion Beijing had pledged, mostly on energy and transport projects. Philippine President Rodrigo Duterte (left) and his Chinese counterpart Xi Jinping in Beijing in 2017. Duterte pursued closer ties with Beijing through a wave of high-profile infrastructure agreements. Photo: AP The bulk of China's pledged financing to the Philippines was made during the administration of former president Rodrigo Duterte , who held office from 2016 to 2022 and pursued closer ties with Beijing through a wave of high-profile infrastructure agreements.
South China Morning Post
2 hours ago
- South China Morning Post
League of Legends world championship returns to China as mainland esports sector grows
China this year will again serve as host to the League of Legends World Championship , the esports industry's biggest tournament for a single title, raising hopes for another finals run by a mainland team. The annual professional competition, also known as the Worlds, will kick off in Beijing from October 14 and then move to Shanghai for the quarter-final and semi-final rounds from October 28 to November 2, according to US video game developer and tournament organiser Riot Games, a subsidiary of Tencent Holdings The 2025 Worlds final will take place on November 9 in Chengdu , capital of southwestern Sichuan province. This year's competition will see 17 teams vie for prize money and the Summoner's Cup, the trophy awarded to the Worlds final winner. Edward Gaming, a professional esports team based in Shanghai, was the last Chinese group to hoist the Summoner's Cup when they won the 2021 Worlds in Reykjavik, the capital of Iceland Holding the 2025 Worlds in China reflected the strides made on the mainland esports sector, which has become big business, as clubs financed by the country's young tycoons made an impact in the global arena.
South China Morning Post
2 hours ago
- South China Morning Post
Trump's copper tariffs fail to stop US metal being shipped to China
Aaron Forkash, a scrap metal dealer based in California, plans to continue exporting copper to Asia even after US President Donald Trump's new 50 per cent tariff on the metal comes into force on August 1. The Trump administration has said the import duty will help revive the US copper industry by making it more profitable to produce the metal at home. But the truth is that it is actually cheaper and easier for American scrap dealers to ship copper to China and other Asian economies than to another part of the United States – and that is unlikely to change after the tariff kicks in, dealers said. 'I don't know how tariffs are going to work,' Forkash said. 'All I can do is compare (prices) on a day-to-day basis.' Many other American scrap dealers are also expected to continue exporting to copper-hungry China , analysts said, as the tariffs are unlikely to resolve fundamental issues in the US metals industry such as a lack of processing capacity.
