Uncertainty stemming from China’s complete ban on cryptocurrency trading has subsided as local crypto exchanges such as Huobi take proactive measures to protect and recover investments based on the mainland.
Du Jun, co-founder of Huobi Group, spoke to Cointelegraph on the matter and said the crypto exchange wants to keep users’ assets safe as part of their social responsibility:
“Customers will be able to transfer their assets to other exchanges or wallets over the next few months. Specific measures and operating rules will be defined in future announcements.”
Pointing to the possibility of breaking bonds with Chinese investors in the middle of the ban, the exchange is also working on other ways to protect client assets so that users can transfer them to exchanges or offshore wallets.
Before the crypto ban, Chinese investors accounted for more than 30% in terms of trading volumes, but John notes that Huobi is becoming more and more popular in the Southeast Asian and European markets. However, the exchange expects that “any short-term impact on Huobi’s earnings will be mitigated as our global business continues to grow.”
In line with the ban on cryptocurrency trading and mining imposed by the People’s Bank of China and other Chinese regulators, Jun plans to double compliance with Huobi and continue building related operations globally.
Cryptocurrency exchanges in mainland China, including Huobi, began to stop registering new customers shortly after a new cryptocurrency ban took effect on Friday. Huobi later announced that all mainland Chinese accounts will be closed by 24:00 UTC + 8 December 31, 2021.
On the topic: Cryptocurrency has recovered from R&D in China more than a dozen times over the past 12 years.
Historically, China has been responsible for the majority of Bitcoin (BTC) mining. Due to the lack of support from the ruling government, Chinese miners from abroad continue to crypto-friendly jurisdictions.
According to a recent report by Cointelegraph, the latest ban marks the 19th attempt by Chinese regulators to rein in bitcoin and cryptocurrencies in the last 12 years. While the decision to ban cryptocurrency trading in China caused some ruthless investors to panic for a moment, the price of Bitcoin continues to send positive signals due to strong support from cryptocurrency exchanges and users around the world.