- Huobi Token (HT) is the native cryptocurrency token of the Huobi Global exchange
- Huobi is now a Type I Financial Instruments Business, allowing the exchange to operate derivatives trading
- Huobi has launched a new Cloud Wallet that will allow users to manage their digital assets without needing to keep a private key
- While the Huobi Token continues to struggle around $9, it retains part of its monthly gains
Huobi Token (HT) is the native token that serves as the loyalty point system of the global crypto exchange, Huobi. It is the only token that Huobi officially launched, and its performance partly rests on the performance of Huobi.
HT is a decentralized asset built on the Ethereum blockchain and is ERC-20 compliant. The token supports Huobi Global business and all products, including VIP discounts, HT exclusive events, and trading against popular coins.
The Houbi Token plays a vital governance role in the greater Houbi ecosystem, allowing holders to vote on decisions about the future of the platform. Like other exchange tokens, Huobi Token has recently received more popularity.
Recent Developments and Future Events
Following the crackdown on cryptocurrencies in China, Houbi has announced that it will be shutting down derivative trading for users on the Chinese mainland. Being one of Huobi’s largest markets, the crackdown has taken a toll on the crypto exchange.
On October 29, Huobi limited Chinese traders from derivative trading in order to remain compliant with local policies. In addition, Huobi will “retire user accounts over the next few months.”
This crackdown has taken a toll on the Houbi Token. The weakening trading volume amongst leveraged products on Huobi has had a large impact on the Houbi Token. Huobi’s share of spot-market trading volumes has dropped to 16% from 24% in early 2021.
It’s not all bad news for Huobi, as the exchange seeks to explore other markets. On October 18, Huobi Japan received approval from Japan’s Financial Services Agency to register as a Type I Financial Instruments Business. Huobi becomes the seventh crypto exchange in Japan to receive this license.
Operating as a Type I Financial Instruments Business will enable Huobi Japan to engage in the trading, underwriting, and management of cryptocurrency derivatives. In addition, Huobi will also operate derivatives trading systems.
Huobi Japan currently offers spot trading for 14 cryptocurrencies, including Bitcoin, Ethereum, and the Huobi Token. Therefore, offering derivative trading could provide a major boost to Huobi’s weakening trading volumes.
In addition, the professional multi-chain light wallet of the Huobi ecosystem recently launched a feature that will allow users to access the growing decentralized finance (DeFi) ecosystem. The Huobi Wallet announced the launch of the Cloud Wallet on October 11.
The Huobi Cloud Wallet solved the complexity most traders face with managing a non-custodial wallet. According to Huobi Global, the Cloud Wallet will allow users to manage their digital assets without keeping a private key.
Huobi’s third-party management system will keep the data of its users secure through key escrow. Thus, users can now hold their digital assets without needing to manage their private keys. In addition, Huobi’s strategic move into the growing DeFi ecosystem is expected to improve the performance of the exchange and its native token, HT.
Huobi Global has also launched an ad posting function on the Huobi app. Advertisers can now create peer-to-peer (P2P) advertisements directly on the app at any time with zero fees. Huobi Ad space could serve as a platform to onboard small business owners around the globe and gain experience with cryptos.
As with most exchange tokens, Huobi Global burns a portion of the Huobi Token (HT) in order to improve its price. On October 15, Huobi Global announced that it burned 3 million HT in September (approximately $38.9 million).
Huobi Token (HT) Price Updates
Following the ban in China, the price of Huobi Token (HT) took a major downswing. From a September high of $17.66, HT slumped to $6.04 on September 26.
The September price chart of Huobi Token (HT). Source: Tradingview
HT recorded some gains to open October, valued at $8.14. Rallying as the crypto market reacted to the Bitcoin ETF news, HT rose to a high of $10.77.
The October price chart of Huobi Token (HT). Source: Tradingview
Consolidating after an 8% gain on October 28, Huobi Token (HT) now trades at $9.3010. HT is ranked as the 78th largest crypto with a market cap of $1.5 billion.
On The Flipside
- Huobi Token is severely undervalued compared to its May 2021 all-time high
- In May, Huobi peaked at $39.81. HT now trades at 76% less than it did in May
Community
Huobi Global represents one of the biggest crypto communities, and the Huobi Team pays special attention to it. Recently, Huobi launched a series of special trading events offering generous rewards to its community for holding Huobi Token (HT).
Huobi Token plays a vital role in the development of the Huobi ecosystem. HT is used for voting on decisions about the future of the platform. Community members are great believers in the project. @Maumol880 shared his opinion:
The best HODL is Huobi Token yeahh https://t.co/kGu9fIMBFl— Mau Hold Kishu Inu (@Maumol880) October 28, 2021
Another user, @CharlieB753JJEU, shared his thoughts about the valuation of HT:
$HT Huobi token at this price is a gift pic.twitter.com/4qXsGqRLtC— xCryptoRoc (@CharlieB753JJEU) October 29, 2021
Highlighting the strength of Huobi, another user, @btc_is_bitcoin wrote:
The only exchange that has never been hacked, lightning fast deposits/withdrawals, superior heco chain development and best customer support.Yet, How tf huobi token is still not above $50 at-least? Do something @HuobiGlobal @DujunX @CiaraHuobi @LeonHuobi #ExchangeTokens $HT pic.twitter.com/YJpXXtRV8n— Bitcoin Mayanz (@btc_is_bitcoin) October 25, 2021
Why You Should Care?
Huobi Token is strategically positioned to benefit from the growth of Huobi Global as it offers new trading options in Japan. In addition, Huobi Global is looking to catch new, unique markets in targeted marketing and P2P advertising.
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