A former hedge fund manager has launched Hong Kong’s first cryptocurrency investment bank with the unveiling of its digital token.
Former hedge fund manager Zhen Liu unveiled on Monday Clipper Coin Capital (CCC), the first cryptocurrency investment bank in Hong Kong as it lists its digital token CCCX on Coinsuper, a local cryptocurrency exchange.
Liu said CCC would provide professional investment banking, fund management service, and financial research to the casino-like digital currency market.
“The goal is to create a premier investment bank for the cryptocurrency market, akin to the Goldman Sachs of the crypto sector.”
Liu spent more than 20 years in Wall Street in charge of quantitative hedge funds for asset management firms such as DE Shaw, UBS, and Brevan Howard.
According to Liu, his ultimate goal in creating CCC is to replicate traditional securities as well as credit analysis frameworks to provide analysis, asset and rank digital currencies to assist investors find the best opportunities in the digital asset space and walk away from possible scams.
He was reported to have said:
“As the crypto market transitions from a wild casino to an emerging market, it represents a significant opportunity for financial intermediaries, he said. It is high time that professional service providers enter the market, in which more than 90 percent of the 1600-odd initial coin offerings issued so far are scams.”
In his assessment, Liu believes that the majority of digital currencies currently in the market would eventually fail, but a handful will remain and generate good returns with their high valuations. CCC will be responsible for identifying which of these cryptos are going to emerge winners in the future.
CCC launches despite market correction predicted
Despite the launch of CCC, Liu’s view coincides with that of investment bank GP Bullhound, which has predicted that the majority of the digital currency market would be wiped out this year, and at least 90% of coins registering market corrections.
GP Bullhound’s report titled “Token Frenzy, The Fuel of The Blockchain,” stated:
“Finally, cryptocurrencies will experience a heavy correction of up to 90 per cent in the next 12 months and very few companies will survive this correction. While this correction will be critical to cutting through the hype, its lack of impact on financial institutions will create phenomena that we have never seen in any previous bubble burst.”