One of the leading crypto exchanges globally, Huobi Global, has recently announced to be leaving China this month. The digital asset exchange was initially established in China back in 2013 and will be leaving the local market this year.
The information about the discontinuation of its services was announced recently by the company. According to the company’s statement, Chinese clients will no longer be able to use the company’s services starting from December 14. It also noted that all crypto exchange operations would be terminated in China the following day, on December 15. As for the crypto asset trading, it will cease this service on December 31.
However, the company also noted that it plans to let its clients from China still log in on their accounts within the next one to two years to withdraw their remaining assets. The company has not been accepting new clients from China since September. The main reason behind this was the new regulatory guidelines adopted by the Chinese officials.
Also, the statement indicated that several other crypto exchanges are also preparing to leave the Chinese market by the end of the year. All of these decisions follow the steps taken by the Chinese government this year, aimed at restricting crypto transactions in the country.
This first started back in 2017, but the process has become especially active over the past year. First, China reported that it would ban all types of crypto mining activities in the country, noting environmental footprint as the main reason.
In September, the Chinese government issued additional restrictions on crypto activities, this time, restricting all types of crypto transactions. Huobi Global is not the crypto exchange that is taken this step. Huge names like Binance and KuCoin have also announced that they will be leaving the crypto trading market of China in the near future.
China’s Crypto Crackdown
Previously known as one of the leading countries in terms of crypto trading and mining, China has recently taken several additional steps to fully carb the crypto activity in the market.
China’s crypto crackdown started back in 2017 when the country’s central bank first issued a set of restrictions on crypto activities. In 2017, the People’s Republic of China banned crypto-related activities. However, they did not ban mining until this year. It was banned in the first half of 2021.
But, the strictest rules were adopted just recently, in September, which left no room for local traders to take part in the crypto trading activities. Before, local traders, as well as exchanges, were finding different ways to keep the market open for local traders.
Why is Crypto So Popular?
Cryptocurrencies have become very popular over the past few years. Their popularity has grown in many parts of the world, and the steps taken by the Chinese government leave local crypto enthusiasts out of the market, without a choice.
The development of modern crypto exchanges is offering traders the opportunity to get started in the market in just a few minutes. They simply need to choose which exchange to use, open an account, deposit funds and start buying, holding, and selling cryptocurrencies.
Most of these crypto exchanges also offer traders the opportunity to use automated crypto robots that are able to analyze the price movements in the market in a much shorter time.
For example, one could get a trading bot for Huobi and use it for trading activities. In most cases, these robots are from third-party companies.
Huobi is One of the Largest Exchanges
Huobi was initially created in 2013 and it is a Chinese company that has managed to become very popular around the world, attracting over 3 million clients from more than 195 countries globally.
The crypto exchange has recently announced to be opening its new Headquarters in Singapore, which is planned to focus on the Asian market.
Huobi offers traders numerous trading opportunities to make crypto trading easier for their clients. The company allows its traders to have access to Over Counter trading using the peer-to-peer option among many other offerings.
The company also allows its clients access to margin trading, which is a great opportunity for traders to increase their profits. The automated trading offering of the company is exceptionally popular among its clients, as it offers them the opportunity to trade cryptos a lot easier. It allows traders to connect their accounts with automated robots using the API key, which is a safe and secure way of connection.
Huobi is not the only crypto exchange that is leaving the Chinese markets. The restrictions adopted by China have LED the majority of crypto traders to leave the market. Some of them have already stopped offering Chinese traders their services.
The clients of Huobi will be able to still have access to their accounts for the next year or two to withdraw their funds.