Huobi Global to Stop Operations in Malaysia

Malaysian Regulators Demand Huobi Global to Stop Operations

Huobi Global has been advised by the Securities Commission of Malaysia to stop all operations in the country. According to the regulators, the company has failed to register as a cryptocurrency exchange due to which this decision has been taken. The regulators have also directed the company to remove its applications from the Play Store as well as Apple App Store and also to close its website.

The company has also received instructions to stop all its advertising and marketing campaigns to Malaysian users. On the other side, Malaysian people are also instructed to stop executing any kind of trade on the platform, withdraw their funds immediately and close their accounts.

Huobi Under Watchdog’s Radar Since 2022

Huobi was under the radar of the Malaysian regulator since 2022 August. The Commission had issued an alert stating that the exchange operates without registering with the regulator.

After the alert was released, Huobi said that they are in talks with the Malaysian regulator over their operations in the country. The company also launched a brokerage firm called Huobi Labunan in 2020. 

Binance also set its foot in the Malaysian market by acquiring stakes in MX Global in 2022. The Malaysian regulators said that there are only four registered crypto exchanges in the country which include Luno Malaysia, MX Global, Tokenize Technology and Sinegy. This information was updated in 2022.

Not the End for Huobi

Getting banned from Malaysia does not mark the end of Huobi. The company has robust plans to expand to other Asian countries as well. Justin Sun, Huobi’s advisor and the founder of Tron said earlier this year that the exchange has applied for a license with the Hong Kong regulators. The company will also launch a new venture in China which will be fully compliant with local regulations.