Malaysian regulators warn investors about Huobi’s unregulated activities

The Malaysian Securities Commission (SC) has placed Huobi, a bitcoin exchange, on the Investor Alert List. The regulator noted that it does not oversee the company’s activities.

Huobi Global [https://t.co/la9Y3ntGuq]
has been added to the SC’s Investor Alert List for operating a digital asset exchange (DAX) in Malaysia without being registered with the SC. pic.twitter.com/z3IGgnCa0t

— SC Malaysia (@SecComMY) August 22, 2022

“In Malaysia, any party conducting activities in the capital market requires SC approval, even if they are permitted to operate in other countries. Investors are strongly advised not to invest funds in any unlicensed or unregistered organisations,” the statement said.

According to the regulator, interacting with the platform exposes users to risk. In the event of a loss of funds, they will not be able to obtain the necessary legal support.

Earlier Huobi received permission to operate in New Zealand and temporary approval from the Dubai regulator, as well as a licence to provide financial services in Canada.

Since November 2021, one of the exchange’s subsidiaries has held a licence for spot trading of cryptocurrencies in Gibraltar.

As a reminder, in July 2020 the SC added Binance to the list of entities whose activities do not comply with the law.

Subsequently, the Commission announced enforcement actions against the company for the illegal management of a digital asset exchange.

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