A new blockchain investment fund has been announced in China – this time backed by the city government of Shenzhen, CoinDesk reported.

Earlier this month, a government-backed $1.6 billion blockchain fund was launched in Hangzhou city.

At a blockchain event hosted by the China Electronic Commerce Association (CECA) on Sunday, the official announcement on the launch of the new blockchain fund was made. During the first phase, the fund targets investing 500 million yuan ($80 million) in blockchain startups in Shenzhen.

The fund has a total of 5 billion yuan for investments into local startups with plans to dedicate 4 percent of the funds to blockchain projects.

According to Sohu, Shenzhen Angel Investment Guidance Fund is contributing 40 percent of the fund and the remaining amount would be contributed by the private sector.

The fund’s daily operations would be managed by two state-owned investment firms. Local government official Liu Zhongpu will serve as an adviser to the fund.

The China Electronic Commerce Association was established by the Ministry of Information Industry (MII) and with the approval of the State Council of China.