Huobi Token soars as Huobi Global acquired by About Capital Management
The price of huobi token (HT) was up by almost a fifth today following news that Huobi Global has completed its sale to About Capital Management.
The transaction between the nine-year-old cryptocurrency exchange and the Hong Kong-based asset management company only involved “the change of controlling shareholder”, said Huobi in a statement.
Huobi added the sale has had “no impact on Huobi's core operation and business management teams”.
HT to USD
Following the transaction, the crypto exchange will “embrace a series of new international brand promotions” and expansion initiatives, according to About Capital.
These include an “injection of sufficient capital in margin and risk provision fund” and the development of a global strategic advisory board led by “leading industry figures”.
The leading crypto industry figures include the founder of blockchain Tron (TRX) Justin Sun, who tweeted that he was honoured to be appointed to the role, and Leah Wald, CEO at alternative asset management firm Valkyrie.
These measures are aimed at ensuring Huobi is – according to the statement – “well positioned to provide first-class trading and investment services to international investors”.
Huobi token jumps after About Capital buyout
As of earlier on 10 October, the native token of Huobi Global, huobi token (HT), had increased by 19% to $4.96 according to CoinMarketCap, following the About Capital news.
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‘Transaction marks a new chapter for Huobi’
Leon Li, the founder of Huobi, said: “This transaction marks a new chapter for Huobi Global. Over the past nine years, we have witnessed Huobi’s ascendence into one of the largest virtual asset exchanges in the world.
“Following Huobi’s exit from the Chinese mainland market in 2021, we have accelerated our globalisation push amidst a challenging market environment, which adds to the impetus for Huobi to seek a new shareholding structure with a global vision and international resources.
“We believe the successful acquisition by About Capital vehicle will contribute to Huobi's global expansion in both aspects.”
Ted Chen, CEO of About Capital Management, added: “We are very pleased to complete the transaction. Huobi Global offers the best of breed virtual asset investment services to millions of international users.
“We believe the virtual asset industry is still in its early stage and there is tremendous upside for long term growth.
“We are confident that the holistic approach to rebuild Huobi Global as the premier international virtual asset exchange would solidify both the recognition and trust of Huobi’s international users.”
Huobi’s MoU with Korean city Busan
In September 2022, Huobi struck another tie with the Asia Pacific region as it signed a Memorandum of Understanding (MoU) with the city of Busan in South Korea.
Huobi signed the agreement to help “foster blockchain industry growth” as well as pledge research and development, technology and financial support to the Busan Digital Currency Exchange.
Huobi has had an office in South Korea since 2019 and received a mandatory licence from the South Korean Financial Services Commission in 2021.
At the time, Busan Mayor Park Heong-joon said: “The City of Busan is pleased to partner with Huobi to foster the growth of our blockchain ecosystem. As a blockchain regulation-free zone, Busan offers a conducive environment to develop the latest digital financial technologies, which has attracted many blockchain companies from across the world.”
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