Main navigation

Huobi Is Not Supervised by Regulators in Declared Jurisdiction of Seychelles

News
Tue, 03/09/2021 - 09:43
article image
Yuri Molchan
Seychelles FSA announces that it has never supervised the biggest Chinese crypto exchange Huobi, headquartered on the islands, bringing to mind the Binance case in 2020
Huobi Is Not Supervised by Regulators in Declared Jurisdiction of Seychelles
Cover image via stock.adobe.com
Read U.TODAY on
Google News

Chinese journalist Colin Wu, who covers all things to do with blockchain, crypto and digital exchanges, has shared that according to the Seychelles FSA, the world's crypto trading giant Huobi, based on the islands, has never been regulated in the Seychelles jurisdiction.

Huobi is not regulated by the Seychelles

Colin Wu cited a press release published by the Seychelles FSA (Financial Services Authority) on March 8 regarding the situation with Huobi Global Limited.

The regulator wrote that it had never issued any license to Huobi that would empower it to do the business it has been busy with.

The FSA hereby informs the public that the aforementioned IBC does not hold any licence issued by the FSA to undertake such type of activity. Therefore, the entity is not being regulated by the FSA nor has it been in the past.

FSA has also warned investors to be cautious regarding the services offered by Huobi or any other company that produces similar services with financial assets.

6712_09
Image via Twitter

Related
Coinbase Stocks Trade at $90 Billion Evaluation During Private Sale on Nasdaq

Echoes of similar situation with Binance in 2020

As reported by the media in early 2020, the Maltese regulator stated that it had never supervised the crypto trading giant Binance headed by Changpeng Zhao, one of the most influential crypto community members and a billionaire on the Forbes list.

The Binance CEO, often known simply as CZ, tweeted in February that the statement by the MFSA (Malta Financial Services Authority) was "a mix of truth, FUD and misconception."

He admitted that Binance is neither located or regulated in Malta. Binance has a number of regulated entities scattered around the world, either operated by Binance directly or by its partners, he wrote back then.

The exchange cooperates with the local regulators of the countries where its branches operate and comply with their rules and demands.

Upd: Houbi resolves its issues with the Seychelles FSA 

Houbi Global has exclusively shared with U.Today that the company has discussed the situation with the Seychelles regulator and resolved all the issues with the FSA. The regulator has now taken down it earlier statement and Houbi stated that it is now in good standing with the financial authorities of the Seychelles and are communicating closely to eliminate any misunderstandings between them.

"Huobi Global Limited is a Seychelles registered company under Huobi Group. It provides services to global customers in accordance with applicable laws. We are currently in good standing with the FSA and communicating closely with them to clarify the situation. It is our understanding that the alert in question will be reverted soon."

article image
About the author

Yuri is a crypto journalist interested in technology and technical innovations. He has been in crypto since 2017. Believes that blockchain and cryptocurrencies have a potential to transform the world in the future in many of its aspects. ‘Hodls’ major cryptocurrencies and has written for multiple crypto media outlets. 

His articles have been quoted by such crypto influencers as Tyler Winklevoss, John McAfee, CZ Binance, Max Keiser, etc.

Currently Yuri is a news writer at U.Today and can be contacted at yuri.molchan@u.today.