Huobi Group published a press release announcing the official launch of the public Huobi Chain testnet, their open-source blockchain created with the aim to present a worldwide, blockchain-based, digital asset financial infrastructure.
Huobi Chain was designed in cooperation with the Nervos network ecosystem and is now available for beta testing. Huobi’s high-performance decentralized finance (DeFi) chain introduces a blockchain framework for financial entities that are regulator-friendly. Within it, they can deploy DeFi apps and services, such as tokenized assets, lending services, identity verification and payments, decentralized exchanges and their own blockchains.
Huobi Group’s VP of Global Business, Ciara Sun commented on the importance of DeFi:
“DeFi has become one of the most promising applications of blockchain technology but its future requires both sides—regulators and enterprises—to work together to establish the standards and guidelines of the new decentralized economy. With Huobi Chain, we want to provide the decentralized framework that facilitates industry-wide collaboration, which is critical to the widespread adoption of DeFi.”
Huobi Chain implements a governance model, which relies on a type of Delegated Proof-of-Stake (DPoS) consensus algorithm to stimulate cooperation between the private financial sector and regulatory agencies. The platform includes one-of-a-kind features like regulatory nodes, allowing regulators to contribute to the ecosystem as validators.
Huobi Chain also includes industry-standard identity protocols such as the Know-Your-Customer (KYC) verification which helps secure Anti-Money Laundering (AML) demands. The new platform eases cross-border regulation and compliance through the usage of a Decentralized Identifier (DID) system.
As Huobi Chain was created specifically for the financial services sector, being open-source gives it the flexibility desired by the open financial markets. Users and developers can build custom financial apps for specific use cases through the flexible DeFi service protocol.
The new blockchain will easily support transactions that are big in size via its high-performance architecture. Financial institutions and banks will benefit from a global scalable framework with the help of features such as multi-asset support, cross-chain interoperability, multi-and-sidechain architectures, and smart contract capabilities.
The chain supports a wide spectrum of on-chain and cross-chain asset management services that involve common digital assets such as BTC and ETH, but also Huobi’s digital assets – HBTC, HT, and HUSD.
Huobi Chain is the premier public blockchain that includes regulatory and governance framework and supports third-party side-chains, user-deployed smart contracts, and multiple languages. For the moment only smart contracts that are written on the C programming language are supported, but with time the ecosystem will be extended.
The network’s mainnet launch is expected to come later this year and during that period Huobi will continue to boost its work in blockchain and financial technology. Huobi’s main targets include extending its support for digital assets and third-party developers, and adding traditional assets.
As for Huobi Token (HT), which recently reached new market highs – it will be Houbi Chain’s only utility token. HT’s huge community base will be of huge use to Huobi Chain’s ecosystem.
Ciara Sun mentioned:
“By providing the infrastructure to make financial services more transparent, inclusive, and efficient, we want to help create a more equitable economy where wealth is accessible to all.”