Huobi Japan Raises $4.6M, Issues New Stock
- The new stocks will be issued to the Tokai Tokyo Financial Holdings over private placement.
- Huobi Japan CEO commented on the partnership and funding initiative, emphasizing on the recognition of blockchain tech by traditional brokerage services.
Crypto wallet concept illustration. Hacker Noon
Huobi Japan shared their Q1 2020 intentions to secure around JPY 500 Million ($4.6 million) in funding by issuing stocks to the Tokai Tokyo Financial Holdings (TTFH). TTFH is a Japanese financial services company that focuses on distribution, dealing, underwriting and brokerage of securities.
CEO of Huobi Japan, Haiteng Chen, commented on their ongoing relationship with TTFH:
“As Huobi Japan continues to provide safe, secure, and customer-first financial services, we will benefit from the capital and business alliance with Tokai Tokyo Financial Holdings. Huobi Japan being leader in security-focused blockchain technology was of big help in helping us the funding.”
It is expected that this funding attempt will help Huobi Japan in its continuous expansion intentions. The cryptocurrency exchange is undergoing a new business strategy where they collaborate with traditional Japanese companies. For example, Huobi Japan secured another $4.6 million funding through Financial Products Group (FPG) in October.
Another successful funding round from TTFH will show that this locally-oriented business strategy is sustainable and brings huge benefits. It also indicates that this is a good way to promote globalization of finance and stimulate blockchain technology development.
As for the upcoming issuance of stock, Haiteng Chen commented:
“Tokai Tokyo Financial Holdings’ choice to collaborate with Huobi Japan indicates greater mainstream recognition of our blockchain technology by traditional brokerage services. TTFH is a comprehensive securities firm, which will find many areas to benefit in from partnering with Huobi Japan.”
With the new partnership Huobi Japan and TTFH will be capable of integrating resources and thus provide cutting-edge financial services to Japanese users.
- One of the largest South Korean commercial banks, KEB Hana Bank, partnered with crypto custodian BitGo in order to set up a new crypto custody venture in the country.
- The new venture, which will use BitGo’s crypto security expertise and Hana’s experience in financial services and compliance, is expected to launch in the second half of 2024.
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- The Japanese exchange has adopted new AML measures in order to comply with the Japanese governments implementation of FATF’s Travel Rule.
- Transaction restrictions will be applied to 21 countries that follow the Travel Rule, though transfers to countries not on the list will still be supported.
- The Securities Commission Malaysia ordered Huobi Global to stop all of its activities in the country as it was not registered with the regulator, and was operating illegally.
- The exchange was also directed to disable its website and mobile applications, as well as cease all advertising of its products and services in the country.