A major Hong Kong-based family office, VMS Group, is stepping into the world of cryptocurrencies for the first time. The $4 billion asset manager has revealed plans to invest up to $10 million in crypto-focused strategies managed by Re7 Capital, a move that highlights growing institutional interest in digital assets and the region’s evolving regulatory support.

VMS Group Eyes Liquid Crypto Investments

VMS Group, which manages wealth for some of Hong Kong’s richest families, has mostly focused on long-term investments like private equity. While these have brought strong returns, they also tie up money for years due to a lack of exit opportunities as many companies delay going public.

Elton Cheung, the managing partner of VMS Group, explained that the firm is looking to diversify into more liquid assets, which can be bought and sold easily. “We’ve had strong gains in private equity, but it’s harder to exit. We think it’s the right time to add more flexible, liquid assets to our portfolio,” Cheung told Bloomberg.

Instead of directly buying crypto like Bitcoin or Ethereum, VMS Group will invest indirectly through Re7 Capital, a digital asset investment firm that focuses on generating yield via decentralised finance (DeFi) and other crypto trading strategies.

Regulatory Environment Encourages Entry

One of the biggest reasons for VMS Group’s move into crypto is the favorable regulatory environment in Hong Kong and beyond.

Cheung said the firm has been encouraged by clearer government rules, growing institutional support, and increasing client demand for digital assets. “We believe this is the right time, as governments and institutions are beginning to openly support this space,” he added.

Recent developments in Hong Kong’s crypto laws include:

• Allowing professional investors to trade crypto derivatives (June 2025).
• Passing a stablecoin bill (May 2025), letting companies issue fiat-backed stablecoins by year-end.
• The Hong Kong government also recently tested Chainlink’s Cross-Chain Interoperability Protocol for its CBDC (central bank digital currency) initiative.

These actions show Hong Kong’s commitment to becoming a global crypto hub, and firms like VMS are taking note.

Re7 Capital: The Chosen Route

Rather than taking on the risks of direct crypto trading, VMS Group is using Re7 Capital as a bridge into the space. Re7 specialises in crypto strategies that generate returns using DeFi platforms, offering exposure to the crypto market with more risk control.

This approach allows VMS to test the waters with experts who understand the fast-changing digital asset space. It’s also a safer and more structured way for traditional investment firms to get involved without diving in headfirst.

The exact amount of VMS’s investment hasn’t been finalised, but it could be up to $10 million, according to Bloomberg.

Other Hong Kong Firms Join the Trend

VMS isn’t alone. A number of Hong Kong-based companies have recently made headlines for entering the crypto world:

• MemeStrategy, an investment firm backed by 9GAG, became the first public company in Hong Kong to invest in Solana (SOL). It purchased over 2,400 SOL tokens worth $368,000 last week.
• DDC Enterprise, a ready-meal company, bought 21 Bitcoin in May 2025. The firm plans to grow its holdings to 5,000 BTC within three years as part of its treasury strategy.

This growing list of traditional companies adopting crypto highlights a clear shift in investor sentiment — from cautious curiosity to active participation.

VMS Group’s planned $10 million crypto investment marks a significant moment for Hong Kong’s institutional embrace of digital assets. Backed by supportive regulations and managed risk through experts like Re7 Capital, the firm’s entry into crypto reflects a broader trend of traditional finance dipping into the once-avoided world of blockchain-based investments.