Huobi Halts New Chinese Users Registration To Comply With Chinese Regulations

For another time, the same stance has been asserted by China as it is maintaining an anti-crypto attitude through compelling Huobi (considered among the biggest Chinese crypto exchanges) to observe the latest regulations imposed by the regulatory authorities. Consequently, a suspension has been put on the new entrance of new users’ registration across the country, according to the reports. Huobi is a company that has been operating in collaboration with the evolving norms and severe regulations in the country for a considerable time. In 2017, at the time of a straightforward ban by the Chinese government over the hosting of inter-currency conversions between fiat money and cryptocurrency, Huobi complied with the orders and dismissed the withdrawals.

During 2021’s June, the company banned the Chinese consumers from derivative products’ trade because the cabinet of China considered it to be risky. Nonetheless, shortly after, the exchange was compelled to dissolve the Beijing entity thereof in July. Several alterations regarding corporate structure were also made by it, and this proved to be another instance of its compliance with the regulations. It was ambiguous whether Huobi prohibited the consumers from the entirety of the areas, as reports marked that Hong Kong and Taiwan have been engaged. Presently, because of mounting pressure, the company’s token [HT] has dipped by 35% during the previous week, according to Coingecko’s shared data.

In the meantime, a thoroughly similar effect has also been experienced by OKEx (another giant of crypto in China). The OKB token thereof plunged by approximately 30% in a simultaneous period. Both the exchanges asserted to have shifted out of the country along with having halted the respective yuan-fiat on-ramps; however, the customers were still able to exchange Renminbi in return for crypto assets via OTC (over-the-counter) merchants, as the reports mention. Nevertheless, in the following time, things are expected to get seriously difficult for the exchange as it is facing a lot of opposition in response to its further operations.

In Thailand, the Securities-and-Exchange-Commission (SEC) is hindering Huobi’s attempts to make additional developments into its business. Huobi is being forced by the securities department to return all the digital assets to the respective consumers. Such directions were imposed after considering that an inappropriate management structure has been utilized by the company. However, the scope of the exchange is vast, including Malaysia, Japan, Singapore, Malta, the USA, and other countries.

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