A bold move that's raising eyebrows: Moore Threads, a prominent Chinese AI chipmaker, is making waves, but not in the way you might expect. Their recent initial public offering (IPO) has taken an unexpected turn, and investors are reacting.
On December 15, 2025, the company announced plans to allocate a significant portion of its IPO proceeds to a rather unconventional investment: banking products. Specifically, Moore Threads intends to park a whopping 7.5 billion yuan (equivalent to approximately $1.1 billion) in "idled funds." This sum represents a staggering 90% of the money raised through the IPO. These funds will be channeled into principal-guaranteed deposit products, including timed deposits and certificates of deposit.
But here's where it gets controversial...
This decision, revealed in a Shanghai stock exchange filing on a Friday, has sent ripples through the market, causing the company's shares to dip. While investing in secure banking products might seem prudent, the scale of this investment, and the fact that it's coming directly after an IPO, has left many analysts and investors scratching their heads.
What are your thoughts on this strategy? Do you see it as a safe play, or a missed opportunity for growth? Share your opinions in the comments below!
