Huobi Korea separates with a share buyback from Huobi Global
Huobi Korea separates with a share buyback from Huobi Global
On January 9, reports circulated that the cryptocurrency exchange Huobi Korea announced plans to cancel its relationship with her parent company Huobi Global.
According to the explanation shared by News1, Huobi Korea will change his name to divorce from Huobi Global, since they were faced with many problems due to national regulations.
Huobi Global is a cryptocurrency exchange that was founded in 2013 by Du Jun and Leon Li, the current CEO of the company. At that time Huobi was one of the world's biggest stock exchanges and competed in head with Binance and Coinbase. According to CoinmarketCap, she currently takes 16th place among the top exchanges.
Huobi Korea buys all the shares held by Huobi Global
According to News1, Cho Kook-Bong, the current chairman of Huobi Korea, meets all precautions to buy all shares from Huobi Korea, the vast majority of which is owned by Leon Li.
As soon as all stocks are bought, Huobi Korea is renamed to "draw a border to Huobi globally".
Although the Huobi executives do not speak the problem of the company's native HT token, it is striking that in the last 30 days after rumors about the insolvency of the company and the announcement of massive layoffs have fallen by almost 25 %
Price of the Huobi token. Image: trading view
Huobi Korea has to struggle with several problems due to his connection with Huobi Global
One of the most important reasons why Huobi Korea decided to distance himself from Huobi Global are regulations, since the stock exchange had to suspend all transactions for five months in 2021 to correspond to the regulations after a change in the company location of Huobi Global.
Huobi Korea wants to prove that it can be a safe “domestic stock exchange” by dropping its image of the “Chinese stock exchange”, according to an employee who is currently working for the stock exchange.
"Huobi Korea suffered from foreign exchange, especially because of the image of a 'Chinese stock exchange'. It can be interpreted in such a way that it is an attempt to show that it is a 'domestic exchange' that is as safe as it is."
Huobi Global is working on winning the trust of its users.
As Cryptopotato recently reported, Justin Sun, founder of the Tron-Blockchain and current member of Huobi Global's advisory board, confirmed rumors of the company's mass layoffs and asked the people to ignore the whole Fud about the bankruptcy of the company, which led to a few million dollars at the end of December 2022.