TLDR
- Yunfeng Financial, backed by Jack Ma, acquired 10,000 Ethereum worth $44 million to expand into digital assets.
- The acquisition was funded entirely through Yunfeng’s available cash resources, marking the start of its digital asset strategy.
- Ethereum will be included in Yunfeng’s official investment portfolio and used for tokenization and Web3 solutions.
- The company plans to further diversify its assets by adding Bitcoin and Solana to its crypto holdings.
- Jack Ma holds an 11.15% stake in Yunfeng Financial, enhancing the firm’s visibility as it explores blockchain technologies.
Yunfeng Financial Group, backed by Jack Ma, has acquired 10,000 Ethereum (ETH) worth $44 million. The move marks a deeper push into the Web3 and digital asset space. Yunfeng confirmed that the acquisition was fully funded by its available cash reserves.
The Strategic Role of Ethereum in Yunfeng’s Portfolio
Yunfeng Financial’s acquisition of Ethereum aligns with its broader strategy to engage with blockchain technologies. Ethereum will be reported as part of its investment portfolio in official financial reports. The company emphasized that ETH would play a key role in tokenization projects and Web3 financial solutions.
Management noted that the Ethereum acquisition would diversify the company’s asset base. By holding Ethereum, Yunfeng aims to reduce reliance on traditional fiat currencies. The company also highlighted Ethereum’s potential in decentralized finance, insurance, and new product development.
The purchase signals the beginning of Yunfeng’s digital asset strategy. The firm plans to expand its crypto holdings by adding other leading cryptocurrencies like Bitcoin (BTC) and Solana (SOL). This will position Yunfeng to tap into decentralized markets while supporting its diverse financial services.
The Jack Ma Factor in Yunfeng’s Expansion
Jack Ma, through Yunfeng Capital, holds about 11.15% of Yunfeng Financial. Although he is not involved in the daily operations, his stake ties Yunfeng to one of China’s most influential entrepreneurs. This connection provides Yunfeng with enhanced visibility as it transitions from traditional finance to blockchain and digital assets.
The company’s link to Ma underscores its potential to expand in the fintech and blockchain sectors. Ma’s involvement indirectly strengthens Yunfeng’s standing in the market as it explores new ventures in the Web3 space. Investors view this as a sign of confidence in Yunfeng’s future direction.
Institutional Demand for Ethereum Drives Market Activity
The market is seeing a broader institutional push into Ethereum, as evidenced by Yunfeng’s move. Blockchain analytics firm Lookonchain reported that large institutional buyers have acquired 218,750 ETH in just two days. Among the biggest buyers, BitMine Immersion Technologies secured 69,603 ETH worth $300 million.
Whales and institutions bought a massive 218,750 $ETH($942.8M) in the past 2 days.
Bitmine bought 69,603 $ETH($300M) from BitGo and Galaxy Digital.
5 newly created wallets bought 102,455 $ETH($441.6M) from FalconX. pic.twitter.com/ajkL0O3roc
— Lookonchain (@lookonchain) September 5, 2025
In addition, five newly created wallets accumulated over 100,000 ETH through FalconX. This surge in institutional demand highlights growing confidence in Ethereum’s long-term value. Ethereum’s increasing adoption by institutions is a clear sign of the asset’s evolving role in global finance.
Falling Exchange Reserves Indicate ETH Supply Squeeze
Ethereum’s availability on centralized exchanges has been shrinking rapidly, adding pressure to the market. According to CryptoQuant, reserves have dropped by 10.7 million ETH since September 2022. As of now, only 17.4 million ETH remain on exchanges, down from a peak of 28.8 million.
In the past three months, about 2.5 million ETH have been withdrawn, absorbed by corporate treasuries and exchange-traded funds. This supply crunch comes as Ethereum reached a record high of $4,953.73 in late August 2025. At the time of writing, Ethereum trades at $4,340, signaling a slight dip of 0.67% in the last 24 hours.
Yunfeng’s significant investment in Ethereum demonstrates the growing institutional interest in digital assets. The company’s move into Ethereum is part of a larger trend of digital asset adoption among global institutions. As Ethereum’s role in decentralized markets continues to expand, companies like Yunfeng are positioning themselves for long-term growth.
