{"id":46668,"date":"2023-03-15T06:52:48","date_gmt":"2023-03-15T10:52:48","guid":{"rendered":"https:\/\/coinscreed.com\/staging\/?p=46668"},"modified":"2023-03-15T06:52:50","modified_gmt":"2023-03-15T10:52:50","slug":"kucoin-leads-10m-funding-round-for-cnhc","status":"publish","type":"post","link":"https:\/\/coinscreed.com\/staging\/kucoin-leads-10m-funding-round-for-cnhc\/","title":{"rendered":"KuCoin leads $10M funding round for CNHC"},"content":{"rendered":"\n

KuCoin, Circle\u2019s investment arm has led a funding round for Chinese stablecoin issuer and blockchain-based payment service provider<\/a> CNHC.<\/p>\n\n\n\n

\"KuCoin
KuCoin leads $10M funding round for CNHC<\/figcaption><\/figure>\n\n\n\n

KuCoin Ventures has led an investment of $10 million for CNHC, a stablecoin issuer, and blockchain-based payment service provider.<\/p>\n\n\n\n

KuCoin Ventures revealed on March 16 that key industry investors, including KuCoin investor IDG Capital and Circle Ventures, the investment arm of Dollar Coin issuer Circle, participated in the funding round.<\/p>\n\n\n\n

Justin Chou, a chief investment officer of KuCoin and head of KuCoin Ventures, said that the latest investment in CNHC is the first stablecoin-related business in which KuCoin Ventures has invested.<\/p>\n\n\n\n

“KuCoin is constantly interested in developing a stronger infrastructure for the financial system,” Chou said, adding that additional real-world asset-backed stablecoins are likely to emerge in the near future. He added:<\/p>\n\n\n\n

\n

\u201cTo ensure stability of the financial market, stablecoin designers need to find a balance between overcollateralization and efficiency. We are happy to see more algorithm-based stablecoins<\/a> but they need to prove their resiliency.”<\/p>\n<\/blockquote>\n\n\n\n

Chou stated that the investment in CNHC reflects KuCoin Ventures' aim of supporting Web3 infrastructure in the Asia-Pacific region. Early in 2022, KuCoin Ventures also invested $10 million in the Chinese blockchain project Conflux, according to the release.<\/p>\n\n\n\n

Chou remarked that Hong Kong has a well-established traditional finance ecosystem and a “genuine possibility” to become the “new crypto center of the globe” with the implementation of new legislation and policies for digital assets.<\/p>\n\n\n\n

Joy Cham, the co-founder of CNHC, told Cointelegraph that the platform introduced CNHC, an offshore stablecoin pegged to the yuan, almost two years ago.<\/p>\n\n\n\n

In reference to CNHC's restricted exposure, he compared the stablecoin to a tool for real estate settlement. According to CoinMarketCap data, the CNHC stablecoin is listed on only one centralized exchange, namely the TruBit Pro Exchange.<\/p>\n\n\n\n

“It will soon be listed on additional centralized and decentralized exchanges,” Cham added.<\/p>\n\n\n\n

The executive also mentioned that CNHC presently supports settlement services in other prominent stablecoins, such as Tether USDT USD Coin. Cham also mentioned that the recent banking issue affecting Silicon Valley Bank<\/a> and Silvergate has had some effect on the company.<\/p>\n\n\n\n

“Some of the banks are our partners that assist us to settle Dollars, but there are additional financial partners, so service is ongoing,” added Cham.<\/p>\n\n\n\n

KuCoin, on the other hand, has been unaffected by these difficulties, as it has no exposure to SVB, Silvergate, or Signature Bank, according to Johnny Lyu, CEO of KuCoin.<\/p>\n\n\n\n

“Yet, the entire business is exposed to varied degrees to USDC and USDT,” Lyu said, adding that removing cryptocurrencies from traditional banking might have “long-lasting consequences for the industry.” The CEO stated:<\/p>\n\n\n\n

\n

“Bitcoin was born after \u2018Lehman Brothers\u2019 yet still grew to mass adoption with about 420 million global users. The recent shutdowns of financial institutions may be the opportunity for crypto to reach mass adoption.\u201d<\/p>\n<\/blockquote>\n\n\n\n

The announcement comes as KuCoin faces a lawsuit in the United States for allegedly violating New York law by selling cryptocurrency trading services.<\/p>\n\n\n\n

In a complaint filed on March 9, the Attorney General of New York, Letitia James, asserted that KuCoin violated securities legislation by offering to sell and purchase cryptocurrencies that are “commodities and securities\r\n \r\n \r\n \r\n <\/g>\r\n \r\n \r\n \r\n <\/clipPath>\r\n <\/defs><\/svg><\/span><\/a>” without registration.<\/p>\n\n\n\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

KuCoin, Circle\u2019s investment arm has led a funding round for Chinese stablecoin issuer and blockchain-based payment service provider CNHC. KuCoin Ventures has led an investment of $10 million for CNHC, a stablecoin issuer, and blockchain-based payment service provider. KuCoin Ventures revealed on March 16 that key industry investors, including KuCoin investor IDG Capital and Circle […]<\/p>\n","protected":false},"author":12,"featured_media":46680,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[13766,1975,9264,13767],"class_list":["post-46668","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-cnhc","tag-funding-round","tag-kucoin-ventures","tag-stablecoin-issuer"],"jetpack_featured_media_url":"https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2023\/03\/image-38.png","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/46668","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/users\/12"}],"replies":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/comments?post=46668"}],"version-history":[{"count":0,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/46668\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media\/46680"}],"wp:attachment":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media?parent=46668"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/categories?post=46668"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/tags?post=46668"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}