- The Seychelles regulator has announced that Huobi Global Limited isn't registered in its jurisdiction.
- It notes that the company “appears to be affiliated” with crypto exchange Huobi Global.
The Seychelles’ Financial Services Authority (FSA) on Monday issued an alert announcing that Huobi Global Limited does not hold a license to undertake business activity in its jurisdiction.
Huobi Global Limited is defined by The Seychelles FSA as an international business company. According to the alert, the company “appears to be affiliated” with Huobi Global, an online platform for trading virtual assets. The regulator came to this conclusion based on information available in the public domain. And indeed, a Huobi representative told CoinDesk that Huobi Global Limited is part of Huobi Group.
The announcement is accompanied by a warning for the public. “The FSA strongly urges investors and members of the public to exercise caution in respect to the services offered by the above mentioned IBC and any other company providing such services.”
The Seychelles: a crypto trading hub
The Seychelles play host to a number of crypto’s largest exchanges.
BitMEX is one such example. The exchange has recently been embroiled in legal disputes. In October 2020, the US Commodity Futures Trading Commission charged BitMEX with money laundering and operating illegally in the US. According to court documents shared with The Block, BitMEX CEO Arthur Hayes could surrender to US authorities this April.
Another crypto exchange that does business in the Seychelles is OKEx. The exchange operates from the Seychelles, and—while it’s based in Malta—if you are not Maltese or Italian, the company uses a different Terms of Service agreement so the crypto you buy is held by Aux Cayes, a company based in the Seychelles.
In addition, Binance set up Binance Investments in the Seychelles in 2019.
Update, March 10: The Seychelles FSA has removed its statement.