Huobi, previously the largest cryptocurrency exchange in the Chinese market before the Chinese authorities banned the activities of cryptocurrency exchanges, moved to Japan, the second largest cryptocurrency market.
Huobi moves to Japan and South Korea
At the end of 2017 three main cryptocurrency trading platform China, Huobi, OKCoin and BTCC is officially moved to bitcoin, the Hong Kong market, working over the counter (OTC) platforms, to meet the demand for cryptocurrencies individual investors in Asia.
Huobi, which renamed Huobi Pro, managed to get back to significant amounts along with the Hong Kong stock exchange OKEx. It also entered into a strategic partnership with SBI Group, one of the largest financial institutions of Japan, with the aim of launching a large-scale cryptocurrency trading platform in Japan and South Korea. In an official statement published by SBI Holdings on December 7, States that:
SBI Holdings signed an agreement with Huobi Group , which has a successful history of stable operation as the largest cryptocurrency exchange in China.
In the official document of partnership is also stated that the SBI Group acquired a 30 percent stake in the Japanese venture Huobi Technology Japan Co., Ltd.
The SBI Group acquisition of 30% equity in the Japanese unit Group Huobi (Huobi Technology Japan Co., Ltd.) and 10% of the shares in the Korean company Group Huobi (HUOBI CO., Ltd). And Huobi Group acquired a 30% stake in SBI Virtual Currencies, a subsidiary of SBI Holdings.
Special attention is given to the partnership between SBI Holdings and Huobi since it is expected that SBI Holdings will provide the trading platform Huobi virtual Bank accounts and a reliable banking infrastructure.
Support for large financial institutions will significantly help Huobi to penetrate the South Korean cryptocurrency market, considering that Japanese and South Korean banks are already cooperating in several projects related to cryptocurrency.
The main markets
According to CryptoCompare, Japanese and South Korean cryptocurrency markets accounted for 40 percent of all bitcoin transactions and 10 percent of transactions in Ethereum. Cryptocurrency exchanges in both regions are working with millions of active traders, despite the implementation of KYC and AML systems that make the process of user verification is extremely inconvenient and ineffective.
When China accounted for most of bitcoin transactions in 2016, Huobi daily treated more volume than any other trading platform on the global market. Thus, Huobi will likely be able to provide a trading platform that can satisfy the demand for cryptocurrency among professional traders and institutional investors.