China-based automotive parts supplier Wanxiang Group intends to establish a $50m fund aimed at startups in the blockchain technology sector, China Money Network reported today, citing local media reports.
Blockchain, best known for being the underlying technology of digital currency bitcoin, is a cryptographic public ledger that enables verified, instant and low-cost transactions.
Wanxiang expects to provide $1m of funding in each of the next three years to a blockchain research lab that would create a range of new projects. Further details are not yet available.
The company has recently focused its investments on the US real estate sector, partnering with private equity firm Geolo Capital to invest $1bn in high-end hotels and acquiring the Waldorf Astoria hotel in Chicago for $113m this summer.
Wanxiang also struck a deal in May this year with Conrad Hotels and Resorts and investment firm Geller Investment in order to open a hotel in Chicago, following a December 2014 partnership with Geller to purchase an office building in the same city with the aim of creating a luxury hotel.