Cryptocurrency exchange Huobi is making moves to secure a crypto license in Hong Kong. The exchange is applying for a license to serve retail clients, and plans to extend its services to Hong Kong under the new system which requires crypto exchanges to register with the Hong Kong Securities and Futures Commission (SFC).
Huobi is looking to create Huobi Hong Kong, an exchange for institutions and high-net-worth people. The SFC has just outlined the Hong Kong licensing plans, with the new system taking effect in June. Financial services firms have lined up to participate in the new, wider system after hearing about the proposed changes.
Huobi’s CEO Justin Sun tweeted about the news, saying “Exciting news! Huobi is stoked about Hong Kong’s pro-crypto policies & we’re working hard to secure our crypto license there. Our aim is to be one of the first fully compliant exchanges in HK & collaborate with our Asia-Pacific users to drive digital asset growth! #Huobi #Crypto”.
In an interview with Nikkei Asia, Sun said that Huobi might raise its personnel from 50 to 200 in Hong Kong this year. He said that the move was inspired by Hong Kong’s more favourable stance on cryptocurrency and retail sales potential.
Huobi announced the layoff of 20% of its workforce in January, citing the move as part of the company’s reorganisation after Sun’s October acquisition. It stated in February that the Huobi Cloud Wallet would be discontinued in May due to strategic and product modifications.
In addition, Nikkei Asia reports that Huobi is also contemplating relocating its headquarters from Singapore to Hong Kong.
Huobi is expanding its services to different areas. In January, the exchange stated that it would create a Visa-backed crypto-to-fiat debit card that clients of Huobi users in the European Economic Area can use globally. This card is anticipated to be available for the second quarter of this year.
Huobi Global is making strides towards creating a presence in Hong Kong. As one of the first crypto exchanges to apply for a license in the country, the exchange has the potential to make a big impact in the region.
The new licensing system is expected to take effect in June and will provide more opportunities for crypto exchanges to operate in Hong Kong. Huobi is looking to create an exchange for institutions and high-net-worth individuals, and is looking to increase its personnel from 50 to 200 in the region.
Huobi is also looking to create a Visa-backed crypto-to-fiat debit card that clients of Huobi users in the European Economic Area can use globally. This card is anticipated to be available for the second quarter of this year.
The exchange is also looking to relocate its headquarters from Singapore to Hong Kong. This move could provide a new level of legitimacy to the exchange, as it will be operating in a jurisdiction that is more favourable to cryptocurrency.
Huobi’s moves to secure a crypto license in Hong Kong could be a sign of things to come for the crypto industry. As more exchanges look to establish a presence in the region, it could open the door for more crypto-related businesses to operate in Hong Kong. This could lead to more investment in the region, and could help to create a more vibrant crypto ecosystem.
The new licensing system could also provide more clarity for exchanges operating in the region. By having a clear set of rules and regulations, exchanges will be able to operate more efficiently and safely. This could lead to more trust in the crypto industry, as well as more opportunities for growth.
Huobi’s plans to secure a crypto license in Hong Kong could be a major step forward for the crypto industry. The exchange’s moves could open the door for more crypto-related businesses to operate in the region, and could help to create a more vibrant crypto ecosystem. It remains to be seen how the exchange’s plans will unfold, but it is clear that Huobi is looking to make a big impact in the region.
