Lawyer accuses Huobi of operating a cryptocurrency exchange that is not held accountable anywhere - Exchanges

Houbi Global, which is based on the Seychelles, was accused by lawyer Jonathan Levy without being responsible for any jurisdiction. The lawyer adds that the physical address of the stock exchange in the island state only serves for postal purposes.

responsibility problems

The lawyer Jonathan Levy, based in the USA, has accused the Huobi cryptocurrency exchange of operating a decentralized global operation that "operates everywhere but is nowhere to be accounted for". Levy's accusation is followed by the alleged casualness of the cryptocurrency exchange registered on the Seychelles, which finally led to a French citizen lost his money to a Chinese fraudster.

Before the disappearance of the Chinese citizen together with the stolen funds, the nameless victim - with the help of Ciphertrace - had successfully found the fraudster at Huobi. Based on the victim's efforts, the French national police had initiated an investigation and requested the support of the cryptocurrency exchange in the recovery of the funds.

Huobi's presence on the Seychelles

According to a declaration published by the lawyer, the attempts by the fraud victim to get his money back, but ultimately thwarted by Houbi's refusal to work with both the French and the Seychellic law enforcement authorities. He explained:

Huobi Global led the French police mislead and claimed that they were subject to the jurisdiction of the Seychelles. This delay made it possible for the criminal to escape with his prey. When the Seychelles police finally carried out research, it was already too late and according to their own statements they lacked responsibility for the crime, since Huobi's presence is only a postal address in this island state.

Meanwhile,

Levy points out this recent incident as another example of why authorities in Europe have to set up a “superfund” financed by the crypto industry. He said that such a fund would prove to be useful for victims of cryptocrimity, such as the French citizen, whose only hope of receiving the funds, now depends on the European Union or the European Union OECD ’s intervention.

In terms of the ability to make sufficient contributions to such a super fund, Levy argues that platforms such as Huobi (whose daily crypto volume is reported to $ 10 billion) and the other top ten exchanges are well positioned to make such contributions.

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Terence Zimwara

Terence Zimwara is an award -winning journalist, author and writer from Zimbabwe. He wrote in detail about the economic problems of some African countries and how digital currencies Africans can offer an escape route.

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