Huobi, one of the largest cryptocurrency exchanges in the world, has announced that it had burned 5.826 million Huobi tokens which, at current market value, amounts to about $138 million.
This is following their commitment to buy 20% of the exchange revenue in the form of HT from the open market and then burn them every quarter. This is likely to make the tokens even more scarce and thus help to maintain the value in the market and the ecosystem as a whole.
“The excellent performance figures in HT stem our core trading business. We have recorded a $68.63 billion trading volume in Q1, according to the data released by TokenInsight’s 2021 Q1 Spot Market Research Report. Huobi has ranked first among exchanges with spot trading volume between US$50 billion and US$100 billion during this period,” stated by Ciara Sun, Vice President of Huobi Global Markets.
The main cryptocurrency exchanges have been showing steadily increasing volume over the last few months as the crypto prices continue to move up and this has piqued interest from across the world and this makes the traders to flock the exchanges in the hope of making use of the volatility. Huobi, in particular, has been growing and expanding globally with the focus at this point of time being in the Asian region. This has enabled it to notch up impressive trading volumes upward of $68 billion in the last quarter and it is expected that the volumes would continue to progress strongly in the coming months as well.
They have also focussed on developing new products and features, the latest being the launch of Huobi Prime that focuses on cutting-edge crypto projects. With more and more projects being done in the crypto world and each of these projects looking for their tokens to be listed in the exchanges, some of the exchanges are seeing a crowding of many such tokens, some of which retire worthless with time. This also confuses the traders as they are unable to separate the wheat from the chaff and are not able to find out good projects to invest in. Huobi Prime is expected to solve this issue so that the traders and the investors can focus only on those projects and associated tokens that have a good chance of growing in a strong manner