Connect with us

Hi, what are you looking for?

ELEVENEWS

Crypto Exchange

Houbi Giant Intends to Acquire Biggest Exchanges in Japan and South Korea: Insider Colin Wu

Biggest crypto exchange in China, Houbi, intends to acquire largest trading platforms in Japan and South Korea but the Chinese government has suspended the deals

Chinese crypto reporter Colin Wu has taken to Twitter to announce exclusive news that the China-based trading giant Huobi attempts to acquire the largest digital exchanges in Korea (Bithumb) and in Japan (Bitflyer).

However, the Chinese government has suspended both deals.

Bitflyer and Bithumb are acquisition targets

The largest exchange in Japan, Bitflyer, boasts 2.5 mln users and is ranked 19th, according to the spot data from Coingecko (12th on CoinMarketCap), while Bithumb is ranked 12th (10th on CoinMarketCap).

Houbi is ranked 7th, as per data from Wu; however, CoinMarketCap’s rank of Huobi Global is number 5. Its daily trading volume totals $9,046,626,214.

The trading volumes of Bithumb and Bitflyer amount to $334,010,756 and $161,684,515, respectively, per CoinMarketCap data.

Butflyer is going at the price of $500 mln.

Wu

Image via Twitter

Houbi’s withdrawal from the U.S., urgent expansion to Japan and Korea

Houbi seems to be Chinese to the bone; the majority of the staff are Chinese. Users, investment funds and revenue are all coming from China. Last year, the platform announced it was going to stop servicing its U.S. customers as it was withdrawing from that market.

This means that, so far, it has only Japan and South Korea for expansion via local crypto players. Huobi still views expansion as a crucial step since it does not want to risk and rely only on the local Chinese market.

It wants to expand abroad as fast as possible, Wu says, as China is cracking down on crypto at the moment.

However, Wu points out that Japan and South Korea, despite being among the largest global crypto markets, are not the best options for expanding, since “Their users are very closed, and the government has super strict supervision.”

Overall, Houbi is financially stable with high revenues, thanks to the fact that Houbi Contract derivatives and its other products rose in popularity this year. According to Bloomberg data, last year Huobi made around $680 mln. This year, due to the bullish crypto market, the profits are expected to be 50 percent higher.

So it can afford to acquire the aforementioned exchanges.

News Source

Advertisement

Trending Post

Chainlink

ChainLink is basically very exciting.  Users have to state that it stirs the imagination and passions of the community in ways that other projects...

IOTA

Senseering offers an IOTA-based solution to create a marketplace for data that can be shared among partners. Senseering’s solution will be used in collaboration...

Ripple

Cryptocurrency investment is becoming a common trend. In the fourth quarter of the year, when investments are said to start doing well, how are...

VeChain

VeChain (VET), BTCMVMNT, and Team Zuby have joined forces to create a limited-edition merchandise collection dubbed “Take the Power Back.” The team says the...

Copyright © ELEVENEWS