Huobi Closes Singapore-Based Accounts to Comply with Local Legistation

The major digital asset exchange – Huobi Global – revealed it will shut the accounts of all Singapore-based users by March 31, 2022. The company will also start closing its doors for new customers.

China And Now Singapore

According to an official announcement on its website, Huobi Global will stop providing cryptocurrency services to clients in Singapore to comply with the laws of the city-state, which classifies as a “restricted jurisdiction” for the company.

All Singaporean users must “take immediate action to close out all active positions and withdraw all digital assets” by the end of March next year. Those who wish to open new accounts will be gradually restricted from doing so.

“Regrettably, this means Huobi Global can no longer offer services to Singapore-based users. We will be closing the accounts of all Singapore-based users on March 31, 2022.”

Singapore became another restricted destination for Huobi. Shortly after China imposed its latest crypto crackdown, the company disclosed it will no longer allow new registration of Chinese users on its platform:

“To comply with local laws and regulations, Huobi Global has ceased account registration for new users in Mainland China. Huobi Global will gradually retire existing Mainland China user accounts by 24:00 (UTC+8) on Dec 31, 2021, and ensure the safety of users’ assets.”

Nonetheless, Huobi’s restrictions did not affect Hong Kong-based clients.

Gibraltar Welcomed Huobi

Contrary to China and Singapore, Huobi found a crypto-friendly location in the face of Gibraltar. A few days ago, the trading venue said it will move its spot-trading operations to the tiny British Overseas Territory as the latter has reportedly greenlighted the initiative.

Du Jun – Co-Founder of Huobi Group – noted that the global digital asset industry is heading “towards compliant growth,” and his company should not fall behind that trend. Migrating some of the services to Gibraltar is a “key milestone” as crypto-related businesses can flourish in that country.

“Gibraltar, as a highly experienced, sophisticated, and globally recognized international financial services center, fits our needs well.”

It is worth noting that earlier this year, Huobi Global expanded into the Latin American market as well. Following a partnership with the local cryptocurrency platform Latamex, it enabled users from Brazil, Argentina, and Mexico to buy bitcoin and alternative coins with fiat currencies.