Hong Kong Startup Criticized for Selling Majority Stake to Invest in Cryptocurrency

Hong Kong’s fifth-largest bike sharing startup has sold 60 percent of its stake to invest in the cryptocurrency market, or two ERC20 tokens to be exact.

$1 Million in Tokens

Ketch’up Bike, a top five bike sharing company in Hong Kong that oversees more than 1,000 bicycles, has sold a majority stake in its venture for $1 million to purchase a bulk of two tokens called JPAY and CyClean.

Created by researchers and developers from Samsung, Episode Games, KAIST, and Princeton, CyClean is a blockchain project that enables consumers to rent bicycles, electric bikes, and electric cards with a cryptocurrency based on the Ethereum network.

The Hong Kong bike sharing startup sold a majority stake in its company to essentially participate in the ICO of CyClean, which shares the same vision as Ketch’up Bike that is to encourage the usage of eco-friendly bicycles, bikes, and cars with the blockchain and crypto.

“The biggest challenge faced by bike-sharing start-ups is the manpower…