Crypto exchange Huobi Global will stop trading and delist the stablecoin HUSD, which is closely tied to the exchange, on Friday 8 a.m. UTC (Friday 4 p.m. Hong Kong time), according to an announcement.
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- HUSD assets held by Huobi users will be converted into USDT at a ratio of 1:1 after the delisting and trading suspension. The exchange expects the conversion to be completed on Nov. 4 in Hong Kong time.
- The delisting is planned for “our continuous efforts to promote the healthy development of the blockchain ecosystem,” Huobi Global said in the announcement.
- Following the announcement, the price of HUSD dipped to US$0.94; as of 10 a.m. Hong Kong time, it was trading at US$0.98, according to CoinMarketCap. Since its depeg from its 1:1 conversion ratio to the U.S. dollar in August, the stablecoin has largely been trading at less than US$1.
- HUSD was first issued by Huobi Global in 2018 as a stablecoin solution and backed by four other stablecoins. In 2019, the HUSD’s issuer was changed to a Huobi Capital-backed startup named Stable Universal, with Paxos as its custody partner.
- In October, Huobi Global was acquired by About Capital, a Hong Kong-based asset management firm.
- Huobi Global had not responded to Forkast’s request for comment at press time.
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