Huobi Group is planning to return to the United States with a new license secured from local regulators.
It has been reported that after ceasing operations in the US in late 2019, Huobi seems to be interested in opening a trust company business in the country.
However, trusts are companies tasked with managing assets for a group of owners or investors. Grayscale‘s trusts use this structure to offer cryptocurrency exposure within traditional markets.
Huobi Technology Holdings said that the company’s Nevada-incorporated business Huobi Trust has received a Trust Company License from the Financial Institutions Division of the Department of Business and Industry in Nevada.
Huobi is coming back to the US after regulations forced it to leave in 2019. Some might call it a coincidence, but they can read the writing on the wall. Seems like everyone is betting big on crypto in 2021. https://t.co/J0q7qWgkUN — Cointelegraph (@Cointelegraph) December 23, 2020
Lan Jianzhong, the Executive Director of Huobi, noted that Huobi Trust has not yet started providing any related trust services.
“Shareholders and potential investors are advised to exercise caution when dealing in the shares of the Company.”
Likewise, Huobi US (HBUS), the operator of United States-based crypto exchange Huobi, officially ceased operations in December 2019, as the move came shortly after Huobi Global announced that it would freeze all US client accounts by mid-November.
The exchange said that the event was caused by issues related to the American regulatory ecosystem and it has been putting effort into tapping new markets over the world in recent years.
Thus, in November 2020, Huobi Global, Huobi Group’s flagship crypto exchange headquartered in Singapore, announced a new entity Huobi Labuan to launch trading services in Malaysia.