Huobi Global is applying for a Hong Kong license to serve retail clients. The exchange might 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). According to Justin Sun’s Twitter thread, Huobi wants 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. In December, financial services firms lined up to participate in the new, wider system after hearing about the proposed changes.
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 pic.twitter.com/ktZw1WE2cs
— Huobi (@HuobiGlobal) February 20, 2023
Sun said in an interview with Nikkei Asia 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.
Nikkei Asia reports that Huobi is also contemplating relocating its headquarters from Singapore to Hong Kong.
Huobi is spreading 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.