The United States expansion for Huobi has gone a step further. This is valid as HBIT secures its MSB (Money Service Business) license from the US FinCEN (Financial Crimes Enforcement Network). HBIT is a subsidiary of the digital currency exchange platform, Huobi.
The License Essence
According to the Seychelles-based crypto exchange platform, Huobi, the essence of the license is to create a base for cryptocurrency business dealings. It plans to carry out these business transactions in the US sometime in the future. The company stated this on Tuesday, the 5th of July. This is considered an aspect of its specific objectives to become more accommodating and globally interconnected.
Suggested Reading | FTX Big Boss Says Damaging Part Of Crypto Calamity Is Over
Moreover, the MSB license from the US FinCEN to HBIT was intended to modify the platform’s operation. With the license, HBIT can operate as a money transmitting platform. As such, they can be considered a fiat currency exchange company.
This is one of the necessary moves according to the requirements of the United States regulators. The idea is to ensure FinCEN’s crime assessments are properly carried out.
HBIT is not yet a digital currency exchange platform as it has not obtained the necessary license. For it to carry out the services of a crypto exchange platform, it needs to possess a money transmitter license.
According to Huobi’s statement, these services will be possible in the future. Then, users in the United States will have the leverage to exchange digital tokens.
Huobi’s Series Of License Achievements
Huobi added that presently, its Hong Kong-based subsidiary possesses some licenses. They include a license for security advice and cryptocurrency management. They achieved these licenses from the Securities and Futures Commission of the country.
Suggested Reading | British Treasury To Hammer Out Crypto Law Despite Bank Of England’s Doubts
Furthermore, the company stated that its subsidiaries in Hong Kong are also expanding services. As a result, they are making the moves to obtain the license that will allow them to offer automated trading and securities trading services. The idea is to become all compliant with digital currency trading in the country.
There are other reports on the streaks of license achievements for Huobi. Some examples cited were those obtained in the UAE (United Arab Emirates) and New Zealand.
Huobi Crypto Exchange
Huobi exchange is not a petty type. This is a fact judging from its ability to generate over 1 billion dollars within 24 hours.
At the initial stage of the Huobi digital currency platform, many users hailed from China. However, this changed after the disapproval of digital currencies in the country. As of February this year, many users were Ukrainians and Russians. This was drawn from Statista’s recent figures.
Featured image from Pexels, chart from TradingView.com
Read More:Huobi Expansion Highly Likely After It Receives FinCEN License | Bitcoinist.com
