Animoca Brands, a digital assets leader building blockchain and tokenized assets to advance the future of Web3, announced it entered into a term sheet with GROW Investment Group , China’s investment and asset management platform backed by Julius Baer. Under the term sheet, Animoca Brands will enter into a partnership with GROW and make “an equity investment in GROW Asset Management (HK) Limited, which will later change its name to GROW Digital Wealth (GDW), GROW’s flagship platform.”
Under the proposed partnership, Animoca Brands and GROW will aim to build GDW into one of the first platforms in Asia to offer “both crypto and traditional finance investment products to family offices and ultra-high-net-worth individuals.”
The goal is to enable independent financial advisors (IFAs) to serve family offices and ultra-high-net-worth clients “with the latest technology, best-performing global institutional investment products, and compliance standards.”
GDW holds Type 1 (dealing in securities), Type 4 (advising on securities), and Type 9 (asset management) licenses issued by the Hong Kong Securities and Futures Commission.
It enables IFAs across Asia with a wealth-management operating system and curated global institutional-grade products “designed for family offices and ultra-high-net-worth clients.”
Animoca Brands plans to introduce crypto assets, “including real world assets (RWAs), to GDW, while GROW will bring its curated investment products to GDW.”
IFAs will be able to offer their clients “both crypto and traditional finance products via GDW’s institutional and compliant-grade platform.”
The partnership would tap into the growing asset management market in China, which has “over 3 million high-net-worth individuals with investable assets exceeding CNY127 trillion (approximately $18 trillion).”
As investors seek higher returns, they are “diversifying from traditional onshore assets to overseas investments and alternative products.”
In addition, Animoca Brands and GROW plan to introduce “educational initiatives to help investors understand and benefit from the increasing convergence between traditional and decentralized finance.”
As part of the proposed transaction, Animoca Brands intends to “acquire an equity interest in GDW of up to 15%, subject to definitive agreements and any required approvals.”
As noted in the update, GROW Investment Group (GROW) is a global China focused alternative asset and wealth management platform.
GROW manages one of the largest “track record China multi strategy multi managers fund in China.”
It focuses on investing capital for institutional and “individual investors to build and grow businesses across multi strategies.”
As mentioned in the announcement, Animoca Brands Corporation Limited is a global digital assets firm building blockchain and tokenized assets solutions.
Animoca Brands is known for building digital asset platforms “such as the Moca Network, Open Campus, and The Sandbox, as well as institutional grade assets; providing digital asset services to help Web3 companies launch and grow; and investing in Web3 tech, with a portfolio of companies and altcoin assets.”