Huobi to Create Committee to Cooperate with CCP

Larfe cryptocurrency exchange operator seems to be looking for cooperation with authorities
20 November 2018   668

The Huobi cryptocurrency exchange unit in Beijing set up a committee to cooperate with the Chinese Communist Party. Thanks to a new initiative, Huobi plans to receive support from the country's ruling party in the region, CoinDesk reported.

In a blog, Huobi representatives said that the principles and policies of the Chinese Communist Party should be implemented in the work of private organizations. Huobi founder Li Lin noted that the creation of a committee is an important milestone in the company's history.

According to the demand of the Chinese Communist Party, state-owned companies with at least three employees are required to create such committees. However, according to local media, in recent years, this practice has become popular among private firms.

Note, cryptocurrency trading in China is prohibited. Therefore, in the country, the Huobi team has opened a consulting and research unit and does not exchange digital assets.

Despite the restrictions imposed on the cryptoindustry, the Chinese authorities are actively promoting blockchain development in the country. In August, the Chinese Communist Party published an educational book about distributed registry technology for government officials.

Huobi to Reply on Faking Trading Volumes Accusations

Huobi did not find any evidence of systematic abuse, CEO Huobi Global said
31 May 2019   305

The general director of Huobi Global, Livio Weng, said that the Huobi cryptocurrency exchange has never been involved in faking trading trading volumes, as stated in the report of Bitwise Asset Management. It is reported by CoinDesk.

So, after the publication of the report, Huobi conducted an internal investigation, which resulted in no systematic problem.

We did identify a few of our market makers conducting what we suspect may have been wash trading for the sake of performance and marketing purposes. We have already communicated with these market makers and they have discontinued the strategies in question.

Livio Weng

CEO, Huobi Global

In the near future, the exchange will make the necessary changes in its policy, as well as take additional measures to combat the increase in trading volumes.

Late March, Bitwise told the US Securities and Exchange Commission (SEC) that 95% of trading volumes on unregulated exchanges are fake and devoid of any economic sense.

This provoked a lively discussion around the CoinMarketCap analytical resource and the correctness of the data published on it.

Later, Bitwise said that the cryptocurrency market can be considered “healthy” if it will get rid of fake data.

Only 10 Bitcoin exchanges passed the original test of the company, Binance, Bitfinex, Coinbase, Kraken, Bitstamp, bitFlyer, Gemini, itBit, Bittrex and Poloniex are among them.