Huobi co-founders register new company in China

Co-founders of the cryptocurrency exchange Huobi Global have registered a new company in Beijing — Beijing Chiyu Mushou. The corresponding data appeared in the state registry of China.

The registered capital of the structure amounted to 1 million yuan (~$156,000). According to CoinDesk, Huobi’s chief executive Leon Li owns a controlling stake (58%) in the venture, while the second co-founder of the bitcoin exchange — Du Jun — received 15% of the shares.

According to the registry, Beijing Chiyu Mushou is oriented towards technology consulting services, software development, and integration of information systems.

A Huobi spokesperson told the publication that the new company has no relation to the cryptocurrency exchange.

In September 2021, amid a new wave of crackdowns from Beijing, Huobi stopped registering new users in mainland China. Binance made a similar move.

In October, Huobi finally curtailed trading of futures and other crypto derivatives in China. The move was part of a broader plan to scale back operations in the country.

In the same month, Bloomberg reported that the bitcoin exchange decided to leave China before authorities tightened regulation of the cryptocurrency industry once again.

In November, Huobi’s subsidiary obtained a license from the Gibraltar financial regulator.