​Huobi exchange token rises by 19% after Hong Kong license application

What’s new? On February 20, the native token of the Huobi cryptocurrency exchange rose 21,8%. This came after the platform’s CEO and TRON blockchain founder Justin Sun announced that Huobi applied for a license to trade cryptocurrencies in Hong Kong. As of 13:55 UTC, HT is trading at $6,3, hitting its highest mark in the past 30 days, according to aggregator CoinGecko.

Big news for crypto today: @HuobiGlobal has announced that it's applying for a crypto trading license in Hong Kong🇭🇰! This is a major step for the major cryptocurrency exchange and a sign of its continued commitment to operating in a compliant and regulated manner. 🇨🇳 — H.E. Justin Sun 孙宇晨 (@justinsuntron) February 20, 2023

What is known about the initiative? According to Sun, with the license, Huobi will be able to offer customers in Hong Kong a wider range of cryptocurrency trading and investment options. The company also plans to launch a new exchange, Huobi Hong Kong, which will be fully compliant with local laws and offer customers a range of trading pairs and services. The platform will work primarily with institutional investors and high-net-worth individuals in Hong Kong.

What is known about Huobi? It is a centralized exchange (CEX), founded in 2013 in Beijing. Currently based in Seychelles, it also has offices in Hong Kong, South Korea, Japan, and the United States. The platform hosts 607 cryptocurrencies and 833 trading pairs. The daily trading volume is $530 million. The HT token is used to receive fee discounts, as well as additional rewards and bonuses. It ranks 54th in the cryptocurrency ranking with a capitalization of $1 billion.

Earlier, Sun predicted the legalization of cryptocurrencies in the PRC, saying they would be recognized as “a legitimate form of wealth.” In his opinion, this assumption is supported by the authorities’ earlier 20% tax on cryptocurrency income.

On February 13, Huobi announced that it would shut down its crypto wallet, Huobi Cloud Wallet. The platform will completely stop supporting the financial instrument in May 2023 due to “strategic and product adjustments.” The withdrawal function will be available within the next three months.

To find out how Huobi was affected by Justin Sun’s purchase, see GetBlock Magazine’s article.