Huobi Global to Delist HUSD — Stablecoin Slips Below $1 Parity to $0.89
On Thursday, the cryptocurrency exchange Huobi Global announced that the trading platform plans to delist the stablecoin HUSD and the delisting will begin at 08:00 (UTC) on October 28, 2022. Furthermore, users with HUSD held on the exchange will see their balances auto-converted to the stablecoin asset tether and the exchange expects to complete the full conversion by November 4. Huobi Global Reveals Plans to Delist HUSD and Auto-Convert Balances to Tether, HUSD Stablecoin Drops Below $1 Peg Following Announcement
Huobi is set to delist the stablecoin HUSD according to an update from the exchange published on Thursday. The trading platform detailed that it is “delisting HUSD in compliance with Article 11 of Huobi Global Token Management Rules.” The termination and delisting period will begin on Friday and amid the delisting period up until November 4, 2022, Huobi’s customers will see their HUSD auto-converted into tether (USDT) at a 1:1 ratio. The move follows Tron founder Justin Sun’s backing of Huobi and telling Bloomberg he’s “one of the biggest holders” of Huobi tokens worldwide.
HUSD is a stablecoin first introduced in a blog post published by Huobi Global on October 19, 2018, and it was originally built on top of Ethereum. The ERC20 token is backed 1:1 with the U.S. dollar and 187,817,004 are circulating in the wild today. In addition to Ethereum, HUSD is also compatible with other token standards like HECO, TRC20, and CRC20. Between all the chains the HUSD web portal says that it has a market valuation of around $223 million, while coingecko.com stats show $187 million.
While Huobi introduced HUSD, the stablecoin asset is issued and managed by the Hong Kong-based firm Stable Universal. After the announcement on Thursday, the stablecoin HUSD depegged from the token’s $1 parity down to $0.9549 per unit at 7:09 p.m. (ET). Thursday evening’s depegging event was not HUSD’s first rodeo derailing off of the $1 parity range. On August 18, HUSD slipped below the USD peg to $0.82 per token and on October 11, the coin dropped to $0.90 per unit.
The HUSD delisting and auto-conversions to USDT follow Binance’s move to auto-convert three different stablecoins into BUSD. Wazirx also opted to auto-convert its customers’ stablecoin assets into BUSD. Moreover, the top two stablecoins by market valuation — USDT and USDC — have seen their coins in circulation drop by tens of billions. On Friday morning at around 5:23 a.m. (ET), HUSD slid off the $1 peg again, dropping to a low of $0.899 per unit. Tags in this story Altcoins, CRC20, depeg, depegging, Dollar Peg, ERC20, Ethereum Network, Heco, Honzon protocol, Huobi, Huobi Global, Huobi HUSD, Huobi Stablecoin, HUSD, HUSD Stablecoin, justin sun, Justin Sun Huobi Tokens, lose peg, losing parity, Stable Universal, Stable Universal Limited, Stablecoin, Stablecoins, TRC20, USD parity
What do you think about Huobi Global removing the stablecoin HUSD from the exchange platform? Let us know what you think about this subject in the comments section below. Jamie Redman
Jamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today. Proof-of-Stake L1 Blockchain Token Aptos Climbs Close to 20% Higher in 24 Hours ALTCOINS | 6 days ago Binance and Paxos-Backed Stablecoin BUSD"s Market Cap Climbs 22% in 2 Months ALTCOINS | 6 days ago
Image Credits: Shutterstock, Pixabay, Wiki Commons Previous articleBitcoin, Ethereum Technical Analysis: ETH Falls Below $1,500 — Market Momentum Remains Bullish Next articleNational Bank of Kazakhstan to Integrate Digital Tenge With BNB Chain, Binance CEO Unveils Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments More Popular NewsIn Case You Missed ItCentral Bank of Brazil Confirms It Will Run a Pilot Test for Its CBDC This Year
The Central Bank of Brazil has confirmed that the institution will run a pilot test regarding the implementation of its proposed central bank digital currency (CBDC), the digital real. Roberto Campos Neto, president of the bank, also stated that this ... read more.Oman to Incorporate Real Estate Tokenization in Virtual Assets Regulatory Framework Tony Hawk"s Latest NFTs to Come With Signed Physical Skateboards Today"s Top Ethereum and Bitcoin Mining Devices Continue to Rake in Profits Fed"s Bullard Wants to Raise Bank Rate to 3.5% by Year"s End, Hints at 75 Basis Point Rate Hike