Huobi Token (HT) Dips Hard On Reports of Huobi COO Being Investigated 16

Huobi Token (HT) Dips Hard On Reports of Huobi COO Being Investigated

Summary:

  • There were unconfirmed reports of Huobi’s Chief Operating Officer being investigated by Chinese authorities
  • The news triggered a massive withdrawal of Bitcoin from Huobi
  • Huobi Token (HT) has been hit hard by the news falling by 22%
  • The team at Huobi have stated that such reports are rumors

In the last 24 hours or so, the crypto exchange of Huobi has been the subject of discussion amongst several crypto communities as it was reported that the platform’s COO was being investigated by authorities in a manner similar to OKEx‘s founder.

According to one report by Colin Wu shared below, the prospects of a Huobi executive being under investigation triggered panic selling at the exchange that resulted in the Huobi Token taking a nosedive in the crypto markets.

Colin Wu went on to explain that assets on Huobi were safe and that the news of an investigation was triggered by Huobi’s executives being unreachable as they traveling on a plane.

Huobi JunDu stated that all user assets are safe and everything is fine, users can withdraw coins.

Huobi employees are on their way back to Beijing from Guizhou. There are rumors that the senior management cannot be contacted because they are on the plane. In Guizhou, Li Lin said that he is not afraid of supervision and he is confident that he has not done anything illegal.

A Lot of Bitcoin Left Huobi Soon After

When news broke of the possibility of Huobi’s COO being investigated, the Whale Alert bot flagged $500 Million in Bitcoin leaving Huobi. Below is a tweet that aggregates the alerts of Bitcoin leaving Huobi.

Huobi Classifies Reports as Rumors

Since news hit the internet of a possible investigation related to a Huobi Executive, the price of Huobi Token has fallen from $4.50 levels to its current price of $3.50. This is a significant drop of 22% in 24 hours.

In response to the reports of its COO being investigated by authorities, the team at Huobi Global has classified such news as rumors as seen in the following tweet.