Despite surge in withdrawals, Justin Sun transfers $100 million in stablecoins to Huobi
#surge #withdrawals #Justin #Sun #transfers #million #stablecoins #Huobi Welcome to Alaska Green Light Blog, here is the new story we have for you today:
Crypto billionaire founder Justin Sun today moved $100 million of his stablecoins to his Huobi exchange after learning that Tron staff would be laid off.
Tether and USD Coin (USDC) served as currency (USDT). Afterwards, Sun told Bloomberg that he transferred the “personal money” to “demonstrate his confidence in the Huobi exchange.”
The money was taken from Binance and then transferred to Huobi, in which Sun has a majority stake, according to blockchain data from Nansen.
The move “could be used to help with higher withdrawals or to maintain some level of confidence in the exchange,” Nansen’s Martin Lee wrote on Twitter.
Huobi, Singapore-based and the fourth-largest digital asset exchange with $371 million in 24-hour trading volume, has been struggling lately. Today, Reuters reported that Huobi would lay off 20% of its workforce after Sun denied the allegations.
Customers withdraw large sums; According to Nansen today, $60.9 million of last week’s $94.2 million net outflow occurred on the last day.
Additionally, independent crypto journalist Colin Wu revealed last week that staff salaries were being paid in stablecoins, prompting protests from staff.
Sun and its representatives were contacted by Decrypt but did not respond. FUD (Fear, Uncertainty, and Doubt) is being spread in the stock market, according to Sun and his crew, who have repeatedly claimed this.
“First, it is important to understand that the cryptocurrency world can be unpredictable and volatile at times. It’s easy to get sucked into the fear, uncertainty and doubt (FUD) that might accompany you because there will always be ups and downs, Sun explained on Twitter on Friday. Huobi’s “FUD” comes at a time when customer confidence in digital asset exchanges is at risk. Just last month, the world’s largest exchange, Binance, released a statement assuring investors that their finances are in good order.
One of the most well-known and well-marketed cryptocurrency exchanges, FTX, experienced a dramatic collapse in November. According to its new CEO, John J Ray, who is responsible for the company’s bankruptcy restructuring, the company lost billions of dollars in customer funds because it was reportedly mismanaged by “a very small group of highly incompetent and naive employees.” The FTX troubles began when a sell-off in the exchange’s FTT token shook customer confidence, prompting them to rush to withdraw their funds. A subsequent liquidity crisis forced the company to acknowledge that it did not have a one-to-one reserve of customer funds. As a result, the exchange had to disable payouts before filing for bankruptcy.
Summary of the news:
Despite surge in withdrawals, Justin Sun transfers $100 million in stablecoins to Huobi. Check all the news and articles from the latest business news updates.