What is Huobi?
Huobi - also known as Huobi Global - is a popular cryptocurrency exchange that offers a diverse array of cryptocurrencies and ICO tokens. In our 2022 study of the best cryptocurrency exchanges, Huobi placed 3rd in terms of total trade volume.
Users can leverage the multiple wallet options provided by the platform to store their assets. Huobi also guarantees extra security by adopting a user intervention fund similar to Binance's Secure Asset Fund for Users (SAFU) to safeguard users’ cash against theft and hacking. The platform supports web applications for Windows, and Mac, while also providing mobile app options for iOS and Android users.
Huobi offers an intuitive website that blends user-friendliness, functionality, and aesthetic appeal into one platform.
There is a "Learn" section on the website for beginners to learn how to trade on the platform and a forum where users may interact with moderators. The Learn section will also feature intermediate and advanced learning materials and tutorials in the near future.
Huobi Company Overview
Huobi has been operating since 2013 and currently has over 10 million account holders. Although half of its audience is in Asia, it welcomes subscribers from over two hundred jurisdictions.
Leon Li is the brain behind Huobi, which was originally established in China. However, the company had to relocate its headquarters to Seychelles following the Chinese government’s crackdown on cryptocurrency. It also has other branches in the U.S., Hong Kong, Japan, and South Korea.
As of writing, Huobi boasts of over 1,300 employees worldwide committed to building a secure and seamless environment for its customers.
Users have access to more than 500 digital assets, any of which may be staked, traded in the spot and margin markets, or sold at auction.
Does Huobi Have Its Own Token?
Huobi has a native ecosystem token, Huobi Token (HT), which can be traded in other exchanges like Gate.io. HT is a decentralized ERC-20 token designed to support trading on the exchange.
Users may save up to 65% on trading fees by storing HT in the Huobi exchange wallet. The token also serves as a ticket to Huobi events such as Bitcoin Pizza Day, an event hosted yearly by the parent company to reward token holders with exceptional prizes.
Launched in 2018, Huobi Token has a limited supply of 500 million units. As of writing, over 154 million tokens are already in circulation, accounting for about 31% of the total supply. It also has an average daily trading volume of over $24 million.
The parent company burns a portion of Huobi Tokens monthly to reduce the amount in circulation. This move helps to enhance the token's market value while lowering the risk of inflation.
The Huobi token (HT) comes with several benefits, including reduced trading fees and margins and access to specific trading events. The Huobi Token (HT) was offered to Huobi users through a unique giveaway strategy in which platform users received free tokens.
Huobi Exchange Review: Pros and Cons
Huobi exchange has many advantages, as well as some disadvantages. This section highlights the key pros and cons of the platform.
- Security of funds
Huobi's sophisticated risk control system protects the accounts and assets of its customers. Coins purchased from a Huobi merchant will be released to the buyer once payment has been received. After the merchant receives payment, the coins of the merchant are frozen and released to the buyer.
To protect the interests of investors, Huobi has established an Investor Protection Fund that prioritizes paying Huobi users in the event of unforeseen circumstances such as malicious attacks and hacks.
- Wide Array of Digital Assets
Customers can trade more than 500 distinct cryptocurrencies and ICO tokens thanks to the platform's vast array of digital assets.
- Multiple earning opportunities for investors
Users can invest their assets to earn considerable profits. Huobi has created many earning opportunities, including staking, Primepool, Huobi Earn, and crypto loans, providing users with an array of options to earn passively.
- Limited withdrawals
Huobi's withdrawal limit is low, particularly for customers who have not completed the KYC procedure. Customers who have completed the KYC process can withdraw large sums, but the limit is still low compared to other platforms.
- Does not meet regulatory standards compared to other exchanges
Huobi has been operating without a license since its relocation from China. When trading on this exchange, this might pose a significant financial risk. The fact that Huobi is unregulated has prompted many countries to ban it from serving its residents.
- Low Margin Leverage
When compared to other exchanges of the same level, Huobi's leverage offerings are minimal. As a result, some users do not utilize Huobi's margin trading as often as they should.
Huobi Supported Cryptocurrencies
As previously stated, Huobi's platform supports over 500 digital assets, increasing the possibility for users to find their preferred digital assets on the platform. The most popular cryptocurrencies on Huobi are:
- Bitcoin (BTC)
- Ethereum (ETH)
- Huobi Token (HT)
- Litecoin (LTC)
- ApeCoin (APE)
- Tether (USDT)
- Uniswap (UNI)
- Tron (TRX)
- Monero (XMR)
There are currently only a few exchanges in the world that offer zero-fee trades, and many of them are compensated in other ways. However, Huobi continues to charge 0.20% in spot trading fees for both takers and makers. This 0.20% fee is slightly lower than the global industry average.
Huobi Token holders enjoy a discount on trading costs. Takers pay 0.05 %, and makers pay 0.02% for professional traders. Fees are reduced as HT holdings and trading volume increase.
Huobi Deposit Methods
Huobi supports an array of deposit methods to accommodate the needs of all users. The deposit methods that users can explore include:
- Credit/Debit card payments
- Bank transfer
Huobi also has a peer-to-peer trading option, which allows users to acquire crypto from merchants on the exchange and deposit them in their wallets.
Huobi Trading Services
Like several exchange platforms, Huobi offers different trading services which include:
- Margin Trading: By leveraging this service, qualified investors may trade cryptocurrencies using borrowed money. Here, Huobi loans funds to users, enabling them to bigger positions than they can ordinarily afford.
- Spot Trading: The Huobi spot market allows traders to purchase and sell assets at current market prices. Both the buyers’ and sellers’ orders are fulfilled shortly after payment.
- Trading Bot: Huobi introduced the trading bot on its website and apps. Users can use the trading bot to execute buy and sell orders at regular intervals. They must also set the prices at which they wish to enter trades.
- Brokerage: Huobi Brokerage seeks to provide compliant and safe brokerage services for institutions and high-networth individuals. It employs comprehensive, multi-level risk management, to ensure that investors’ funds are safe. Huobi also uses this service to provide loans at competitive rates in order to satisfy customer-specific lending needs.
Huobi, like most exchanges, requires just an email address and a phone number to create an account. However, users must enable two-factor authentication to ensure account security.
The two-factor authentication serves as a second layer of protection which entails the user entering their password and a code obtained from an authenticator app on their phone.
Overall, Huobi’s security approach reduces the possibility of malicious attacks on users’ accounts as hackers must provide the authentication code to gain access.
Huobi customer satisfaction
In our 2022 study of the most popular cryptocurrency exchanges, Huobi ranked 3rd in terms of total trade volume.
However, in terms of market presence they ranked outside the top 10 of cryptocurrency platforms.
They’re still a top performer in the space.
The disparity in ranking likely means that Huobi users - while fewer in number - are more serious traders who trade higher value amounts through the platform.
This is a sign that the platform is popular with serious crypto traders.