Huobi Global, or simply Huobi, is one of the major digital currency exchanges where you can trade cryptocurrencies. It is one of the world’s most trusted, proven, and largest cryptocurrency exchanges in terms of traffic, trading volume, and liquidity.
This article provides a comprehensive overview of Huobi Global, including a brief introduction of the company, its token, features, available markets, trading costs, security, and roadmap.
What is Huobi Global?
Huobi Global is a well-known cryptocurrency exchange founded in 2013 in Beijing, China, with the goal of providing a cryptocurrency trading platform for people in mainland China and around the world.
The platform quickly grew to become one of China’s three largest cryptocurrency exchanges, providing Bitcoin traders with adequate liquidity.
Huobi’s crypto trading services were relocated outside of China in 2017 due to the changing legal landscape in the country. Following that, the company established a new headquarters in Singapore and incorporated in Seychelles, with plans to expand into other Asian markets and the rest of the world.
Huobi has previously encountered issues with the global regulatory landscape. In 2021, the exchange was forced to shut down its operations in Singapore to comply with local legislation. So far, only the Gibraltar Financial Services Commission (GFSC) has given the exchange regulatory approval.
Huobi Global has successfully expanded its user base outside China to become one of the world’s most liquid cryptocurrency exchanges.
Huobi currently offers a digital asset ecosystem that includes spot trading, derivatives trading, staking, crypto loans, crypto yield products, and other services.
Which Countries Use Huobi Global?
Initially aimed at the Chinese market, the exchange now serves tens of millions of users in over 195 countries, with over 60 payment methods for converting fiat to crypto.
Huobi, however, is not available in a number of major markets around the world, including the United States, New Zealand, Canada, Bangladesh, Singapore, Iran, North Korea, Sudan, Syria, Venezuela, Taiwan, Israel, Iraq, Bolivia, Ecuador, Kyrgyzstan, and Sevastopol.
This is due to the strict regulations that govern the provision of financial products and services in these markets.
What is the Huobi Token (HT)?
Huobi Token (HT), Huobi’s native cryptocurrency, was launched in January 2018. According to CoinMarketCap, it is one of the top 100 currencies by market capitalization.
Huobi Tokens (HT) was first issued in 2018 with a total supply of 500 million. Individuals who bought a “points card” on Huobi Pro received 300 million tokens as a bonus. The first 100 million HT were slated to go toward “user rewards and platform operation,” while the remaining 100 million will go toward team incentives.
The tokens were created to assist Huobi in its recovery following a drop in trade volumes caused by a Chinese restriction on cryptocurrency trading. The Huobi Token is the Huobi system’s fuel. It is mainly used to lower fees when trading on the Huobi platform.
Huobi Token holders are also rewarded with mining guides. The exchange occasionally gives away free tokens to users who are devoted HT holders. Furthermore, Huobi Token holders can exercise voting rights, such as choosing the next token to be listed on the exchange.
HT can be purchased and traded on Huobi’s exchanges and is not mined like many other cryptocurrencies.
Unique Features of Huobi Global
Huobi Global has one of the lowest rates for buy and sell orders, starting at 0.2% per trade and decreasing further by holding HT tokens.
It offers futures trading (with leverage up to 100x, 150x, and 200x for BTC and ETH, respectively, and 5x for altcoins), spot trading, margin trading, staking, and cryptocurrency lending.
Huobi also offers perpetual swaps, which are derivatives contracts similar to futures in that they allow you to acquire the value of an underlying asset with no expiration or settlement date. You can maintain your market position indefinitely.
The cryptocurrency exchange is better suited for seasoned traders. On the other hand, beginners may benefit from the Learn section of the exchange, where they can learn how to open an account, navigate the dashboard, and research cryptocurrency investment methods.
The exchange also offers a variety of products that can benefit users, such as Huobi’s VIP Program, in which the greater the user’s trading volume and crypto holdings, the more Huobi Experience Points (EXP) they accumulate, and Huobi’s programmable bot, which allows users to execute trade orders on their behalf.
Huobi has one of the top crypto P2P exchanges owing to its advanced filtration system. P2P users can sort merchants on the network based on reviews and ratings, which is ideal for beginners.
The exchange provides customers with a built-in blockchain, Huobi ECO Chain, which is a low-cost permissionless smart-contract-enabled network that facilitates decentralized apps (DApps).
Huobi users can trade OTC contracts, often known as off-exchange trading. OTC trading refers to private contracts signed between two parties outside of the exchange and without the exchange’s supervision.
Huobi is available in two forms: Huobi OTC and Huobi Pro.
Huobi OTC is a less complicated and lighter variant. It enables the exchange of one of 25 fiat currencies (such as the Euro) for one of six cryptocurrencies. They do not charge a transaction fee for most Bitcoin, Ethereum, or Tether (USDT) trades.
Huobi Pro, on the other hand, caters to experienced traders and offers over 100 cryptocurrencies.
How to Use the Huobi Exchange
No fees are associated with opening a new Huobi account or maintaining a Huobi wallet. However, some Huobi account features may incur fees, such as depositing money to the exchange, buying and selling, trading across assets, and withdrawing to an external wallet.
Users must provide an email address and a password to create an account on Huobi. Traders would also have to verify their identity to receive higher withdrawal limits.
Individuals who prefer not to submit personal information and wish to remain anonymous may use a no-KYC fast crypto swap site.
Cryptocurrencies Available on Huobi Global
Huobi Global offers trading for over 400 cryptocurrencies and regularly adds new assets to the platform. Here are some of the most popular digital currencies and tokens that are currently available for trading on the site:
- Bitcoin (BTC)
- Dogecoin (DOGE)
- Ethereum (ETH)
- Litecoin (LTC)
- Monero (XMR)
- Huobi Token (HT)
- Huobi USD (HUSD)
- Tether (USDT)
- Tron (TRX)
- Uniswap (UNI)
- Zcash (ZEC)
Trading Fees on Huobi
Huobi Global charges a flat fee of 0.2%. However, Huobi Token (HT) holders enjoy a discount on trading costs, which reduces as the amount of HT in a user’s exchange wallet increases.
Maker fees for experienced traders start at 0.0362%, while taker fees begin at 0.0462%. Fees decrease as HT holdings and trading volume increase.
In addition to fees, Huobi has daily trading and withdrawal limits for users. As users complete different levels of verification, these restrictions become less stringent.
How Secure is Huobi Global?
Huobi employs a number of bank-like security mechanisms, such as cold wallet storage, SMS and email notifications, and two-factor authentication (2FA), to ensure a dependable and secure trading environment.
Unlike other cryptocurrency exchanges that have been hacked, Huobi has never been successfully breached, resulting in the loss of money or user information.
Huobi keeps client assets in multi-signature cold wallets and has a 20,000 BTC Security Reserve Fund set up to deal with extreme protection incidents in order to provide its users with a high level of security.
Huobi repurchases 20% of its native cryptocurrency, the Huobi Token. These are placed in a user protection fund and can be redistributed to holders in the event of a hack.
However, Huobi has encountered regulatory difficulties. Huobi Global is incorporated in Seychelles as an unregulated firm, implying that the exchange may not operate under a license in your jurisdiction.
Huobi also stated in November 2021 that it had to delete the accounts of its Singapore customers in order to comply with local rules, adding the country to the exchange’s “restricted jurisdictions” list.
Huobi’s Plans for the Future
Huobi aspires to be much more than just a cryptocurrency exchange. It recently began trading futures on its own derivative market. The goal is to attract more “sophisticated investors” from more established financial markets” who are looking to get a piece of the cryptocurrency pie.
Huobi also intends to have a more global presence, which is why it has announced plans to expand into the Middle East, Africa, and South Asia regions.
Huobi has announced plans to relocate its headquarters to one of the Caribbean countries, with the Dominican Republic as the initial option.
Huobi’s headquarters are currently located on the Seychelles Islands in the Indian Ocean, with offices in Hong Kong, South Korea, Japan, and the United States. According to the Financial Times, the company intends to relocate up to 200 of its 1,600 employees to the new headquarters.
- Huobi Global allows users to buy, sell, stake, and borrow a wide variety of cryptocurrencies, creating a one-stop shop for seasoned cryptocurrency traders and investors.
- However, the exchange has yet to achieve widespread regulatory compliance, and newcomers may struggle with the platform’s plethora of tools and capabilities.
- From our Huobi review, there are a lot of positive features, such as trading capabilities and support for cryptocurrencies and fiat currencies.
- However, as with other crypto platforms, it has its drawbacks. It is not considered the best option for beginners and is unavailable in many major markets.
- The exchange’s potential to grow and service more consumers around the world has been impeded by the fact that it is not regulated by any government agency.
Disclaimer: This article is intended solely for informational purposes and should not be considered trading or investment advice. Nothing herein should be construed as financial, legal, or tax advice. Trading or investing in cryptocurrencies carries a considerable risk of financial loss. Always conduct due diligence.
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