VMS Group Expands into Cryptocurrency Through Re7 Capital Partnership
Hong Kong’s VMS Group, a multi-family office managing $4 billion in assets, has announced its inaugural move into cryptocurrency markets. The firm will allocate up to $10 million to strategies developed by Re7 Capital, signaling a strategic shift toward more liquid asset classes.
Strategic Timing for Crypto Entry
According to Elton Cheung, Managing Partner at VMS Group, three key factors drove this decision: growing institutional demand, improving regulatory clarity, and increasing mainstream acceptance of digital assets. This move aligns with a broader trend of traditional wealth managers diversifying into crypto assets.
Managed Approach to Crypto Exposure
Rather than direct cryptocurrency purchases, VMS Group selected Re7 Capital’s expertise in yield-generating strategies through decentralized finance protocols. This approach provides exposure while mitigating volatility risks inherent in digital asset markets.
Hong Kong’s Progressive Regulatory Framework
Hong Kong has emerged as a leader in crypto-friendly regulation, recently approving crypto derivatives trading for professional investors and establishing guidelines for fiat-backed stablecoin issuance expected by year-end.
Corporate Crypto Adoption Accelerates
The decision follows several notable crypto allocations by Hong Kong firms, including MemeStrategy‘s Solana position and DDC Enterprise‘s Bitcoin acquisition program targeting 5,000 BTC within three years.