Chinese social networking VoIP company YY Inc. is tempting fate with its just-submitted initial public offering application to the U.S. Securities and Exchange Commission.

The Chinese technology company is seeking a listing on Nasdaq to raise USD100 million on the coattails of much scrutiny and disdain for Chinese-listed stocks in the United States. Over the last two years, some technology companies like Longtop suffered from accounting-related scandals, while other Greater China tech companies like Gigamedia and Tudou have suffered from ownership issues via their variable interest equity entity stakes in domestic Chinese enterprises. Chinese Web stocks like,, and are all trading today at more than 50% less than where they were 18-24 months ago.

So, with that as a backdrop, YY, who has been backed in the past by Morningside Ventures, Steamboat, GGV, and Tiger Fund, is attempting to make a go for an IPO in this negative environment.

YY operates both and Its core product YY voice communication application, which can realize real-time communication by online voice, video, and text, was unveiled in July 2008. By September 2012, the application had gained 400.5 million registered users. In August 2012, the number of monthly active users was about 70.5 million.

During the first half of 2012, the company’s net income increased to USD51.1 million, an increase of 173.2% compared with the USD18.86 million in the same period of 2011.