Huobi discontinues crypto derivatives as part of a discount system for traders

The major crypto exchange Huobi ended trading futures and other derivatives in mainland China today as planned.

Earlier this month, the crypto exchange announced on its website that it would be handling all futures, contract and other derivatives activity for all Chinese consumers today as part of a major shutdown in the country.

https://twitter.com/WuBlockchain/status/1453903066764218377?ref_src=twsrc%5Etfw” target=”_blank” rel=”nofollow noopener
Huobi is the first exchange to announce that it will pull out of mainland China due to the Chinese government’s continued refusal to lift the Bitcoin ban. On September 24th, the largest cryptocurrency exchange in China held a shareholders’ meeting at which the company’s shareholders unanimously decided to leave China and cease operations.

As reported by Cointelegraph, Huobi Group’s co-founder Du Jun has vowed to secure all crypto assets for Chinese accounts before their final closure on December 31, 2021.

Following Huobi’s lead, other crypto-related platforms and companies such as crypto mining pools and mining equipment manufacturers have followed a similar strategy.

The list includes Binance, BTC.com and Bitmain, among others. The CoinEx cryptocurrency exchange has announced its withdrawal from China, and Renrenbit, which was founded by China’s “OTC King” Zhao Dong, is also closing.

The exodus is the result of government efforts that began in late September when 10 Chinese authorities, including the Ministry of Public Security and the Supreme People’s Court, as well as the country’s main bank in the country announced a comprehensive ban on cryptocurrency trading.

Speaking at the Code Conference in Los Angeles in late September, Tesla CEO Elon Musk hinted that cryptocurrencies are on the verge of undermining the power of the Chinese Communist Party. As a result, the government’s crypto ban will continue.