Huobi’s regional director for Russia, Ukraine and Turkey: market participants seek regulation

In February 2021, the cryptocurrency exchange Huobi Global appointed Alphan Gogus to the post regional director for Russia, Ukraine and Turkey.

In early April, Alphan gave an exclusive ForkLog interview. He spoke about his work in the crypto industry, regulation of digital assets in the CIS, and Huobi’s advantages.

ForkLog: Before entering the crypto industry, you worked at Deloitte. What drew you to cryptocurrencies?

Alphan Gogus: After earning an economics degree, I joined Deloitte as a financial auditor. It was a dream job. I spent 13 years at Deloitte. During that time I gained extensive experience in business analysis and risk management, as well as improved my leadership skills.

In early 2016 I made a risky decision — I left Deloitte to pursue a career in the crypto industry. I wanted to be part of the changes that would define the future of money and banking systems. Later I realised it was a farsighted move.

ForkLog: From 2016 to 2019 you served as Chief Operating Officer of the Turkish cryptocurrency exchange BTC Turk, and until 2020 led Huobi’s Turkey unit. What changed during this period?

Alphan Gogus: In 2016 the primary market participants were retail investors. Since 2020 the share of institutional investors in cryptocurrencies has been steadily rising. They understand the potential of cryptocurrencies and blockchain technologies much better. The entry of major players into the market has led to stronger regulation on a global scale.

ForkLog: When did you acquire your first Bitcoin?

Alphan Gogus: In 2016 at around $400. I remember a conversation during a New Year’s Eve dinner in December 2015. One of my friends asked me: “What are you planning to do in this business? Why are you leaving a career in financial auditing? Bitcoin was created to launder money.” I tried to persuade him, but to no avail. Two years later this friend asked how to buy Bitcoin.

ForkLog: Why Russia, Ukraine and Turkey?

Alphan Gogus: The main reason is the high interest in cryptocurrencies on these markets. They are very important for Huobi Global. We began our journey in Turkey several years ago and have already achieved great success.

ForkLog: How do you assess the trends in cryptocurrency regulation in these countries?

Alphan Gogus: Turkey is focusing on developing a central bank digital currency (CBDC). President Erdogan announced plans to test the technological and legal infrastructure for the digital lira by the end of 2022.

Authorities emphasise the need to regulate the industry. They fear that citizens could use cryptocurrencies for fraudulent activities. There are no rules yet. We anticipate the appearance of legislative initiatives in the coming months.

Russian regulation is more mature. According to the law \”On Digital Financial Assets\”, citizens cannot use cryptocurrencies to pay for goods and services. However, the law does not ban cryptocurrency trading. Owners can declare crypto assets when turnover exceeds 600,000 rubles.

Ukraine has focused efforts on legalising virtual assets. In December 2020, the Verkhovna Rada adopted the bill \”On Virtual Assets\” in its first reading. Its aim is to protect Ukrainian investors and create a tax regime for crypto assets.

Regulation eliminates legal uncertainty. It is of interest to all participants in the cryptocurrency market.

ForkLog: The Turkish lira fell by 50% over the last three years. Meanwhile, in 2020 Turkey entered the top-5 by LocalBitcoins trading volume. How do you view Bitcoin as a hedge against the lira’s collapse?

Turkish traders, who opt for Huobi, store their funds in USDT. Currency fluctuations do not affect their balances. However, a depreciation of the national currency adversely affects savings and incomes of Turkish residents.

ForkLog: How easy is it to buy Bitcoin for rubles or hryvnias on Huobi?

Alphan Gogus: Users can deposit and withdraw rubles via the AdvCash payment service. This requires a passport or driver’s license. After funding, clients gain access to 355 assets.

Minimum deposit is 200 rubles, maximum is 100,000 or 500,000 rubles depending on the verification level.

ForkLog: Tell us about Huobi’s strategy for the CIS markets. According to the annual ForkLog survey, 63% of respondents trade on Binance. Can you name the key advantages over them?

Alphan Gogus: Security is the most important factor when choosing a trading platform. Huobi has always put the security of users’ assets first. We are proud that since its 2013 launch, Huobi has never been hacked.

Another important factor is liquidity. On a liquid exchange, users can buy or sell cryptocurrencies at the best market prices. Huobi is one of the most liquid crypto exchanges on the market.

Huobi has lower fiat withdrawal fees. We list promising projects faster than competitors. Huobi also remains operating during periods of high volatility in the crypto market.

ForkLog: How do you view Bitcoin’s long-term prospects?

Alphan Gogus: Bitcoin is rising on the back of demand from institutional players. Large companies are increasingly investing in cryptocurrencies.

I am optimistic about the long-term prospects for the crypto industry. With proper regulation, digital assets will become an integral part of our daily lives.

As a reminder, in February Huobi added support for ruble-based bank cards.

Read ForkLog’s bitcoin news in our Telegram — cryptocurrency news, rates and analysis.