The Securities Commission of Malaysia has issued an order for Huobi Global Limited, the world’s fourth-largest cryptocurrency exchange founded by Leon Li in 2013, to cease its operations in Malaysia due to its failure to register with the Securities Commission of Malaysia.
An enforcement lawsuit has also been filed against Leon Li, CEO of Huobi Global
In addition, SC has filed a lawsuit against Huobi Global’s CEO, Leon Li, alleging that the company is engaged in illegal activities. SC’s decision to file the lawsuit is reportedly due to Huobi platform’s non-compliance with regulatory rules.
A special instruction has been given by SC to CEO Leon Li!
Additionally, SC has issued a specific instruction to Huobi Global’s CEO, Leon Li, demanding the closure of the company’s website and mobile applications in Malaysia. They have also instructed Leon Li to cease all advertising on email and social media platforms targeting Malaysian users. Furthermore, SC has requested that Huobi’s Malaysian users withdraw all their assets from the platform and close their accounts.
“Huobi is currently not operating in Malaysia, and also, Leon Li is not the CEO of Huobi at the moment.”Justin Sun, advisor to Huobi and founder of Tron
Justin Sun stated that this situation is related to the previous Huobi organization and former shareholders, and the lawsuits against us are not associated with the current Huobi platform. Additionally, Sun assured in his statement that Huobi is committed to providing a secure trading environment that complies with all applicable laws for its global users.
Huobi is not getting out of trouble!
In September 2021, Huobi announced that it would suspend its operations due to a government ban in mainland China. Following this ban, Huobi ceased its operations in China. Then, in July 2022, after the cancellation of Huobi’s license in Thailand, they also decided to halt their operations there.
It appears that Huobi is facing frequent challenges due to government regulations and license cancellations in different countries.
In summary, the Securities Commission of Malaysia (SC) issued an order for Huobi Global to cease its operations in Malaysia, citing the reason that Huobi is not registered in Malaysia. The SC also filed an enforcement action against Huobi and CEO Leon Li. Justin Sun, an advisor to Huobi, stated that Huobi is not operating in Malaysia and that the SC’s decisions are related to the former Huobi organization.