- Huobi releases information about its impending closure of Huobi Cloud Wallet.
- The firm advises the withdrawal of all cryptocurrencies and NFTs from now till May 13.
- The crypto exchange has seen a lot of restructuring since Justin Sun took over.
Huobi Global, a Seychelles-based cryptocurrency exchange, has announced its plans to close its Cloud Wallet Service.
Due to strategic and product adjustments, Huobi announced that it would no longer continue to offer its Cloud Wallet services. The company, therefore, declared that users had the grace of three months to withdraw all digital assets (cryptocurrencies and nonfungible tokens) stored on the cloud wallet.
“We regret to inform you that due to strategic and product adjustments, the maintenance and upgrade of Huobi Cloud Wallet have been ceased,” Huobi announced.
Although the cryptocurrency exchange firm stated that it would still be in operation until the listed date for closure, it also mentioned that it would halt all upgrades and maintenance of the Houbi Cloud Wallet starting today, February 13, 2023.
Huobi published the announcement on its website, advising users to move all assets held on the cloud wallet to their Huobi account or other on-chain addresses. The crypto exchange also stated that users did not trust third-party assistance while transferring their digital assets.
The Chinese cryptocurrency exchange was founded in 2013 with branches in Hong Kong, South Korea, the USA, and Japan. On February 13, it delivered the news of the impending closure of its Cloud Wallet, urging its users to withdraw their NFTs and cryptocurrencies before May 13, 2023, when it is scheduled to shut down the service officially.
The Huobi Cloud Wallet service was initially launched in 2021 as a feature of the firm’s wallet, enabling users to control their digital assets without private keys. Users were able to hold tokens without managing private keys.
Huobi Delists 33 Tokens in a Day
In January 2023, the Seychelles-based crypto exchange published a press release announcing it delisted 33 tokens. Huobi stated that it was devoted to promoting the healthy growth of the blockchain industry. Hence, the company had concluded that it would permanently delist 33 tokens from trading on its platform.
The reason for this action was based on the violation of the first and second paragraphs of Article 17 of the “Huobi Token Management Rules” and provisions of Article 17, paragraph 2 of the same management rules.
Houbi Wallet announces rebranding as iToken
In May 2022, Huobi announced that it would be renaming its native crypto wallet into “iToken,” the token reportedly received $200 million from Houbi Group. Half of the investment was transferred to the wallet’s risk reserves for the launched wealth management activities, while the other half was used for current operations.
Huobi Advises Users
Shortly after the announcement of the closure of its Cloud Wallet service, Huobi told its users that withdrawal and transfer functions would only be permitted on its platform for the next three months. However, users were urged not to transfer digital assets to their cloud wallet during this period.
Conclusion
Huobi—a Seychelles-based crypto exchange— has cited its strategic and product adjustments to be the reasons for the impending closure of its cloud wallet service. Huobi has been witnessing a restructuring of its functions since the takeover by Justin Sun.
