In order to offer cryptocurrency transactions, Huobi Technologies (1611.HK) said that its brokerage subsidiary, HBIT, has secured a license to carry out foreign exchange and money transfer activities in the U.S.
According to a statement released on Tuesday, HBIT has been granted a Money Services Business Registration License (MSB) by the U.S. Financial Crimes Enforcement Bureau (FinCEN).
According to the blog, this represents yet another step forward in Huobi Technology’s compliance process and lays a solid compliance foundation for the company to conduct future digital currency-related business in the United States, furthering the strategic objectives of globalization and compliance.
The laws governing digital money in European and American countries are rather clear, from the bill’s drafting to the closely guarded oversight. It has been stated that United States stands out among them because it encourages the orderly growth of digital assets and is imaginative in the speed of regulatory development.
With this license in hand, HT’s brokerage company is now authorized to operate as a money transmitter and a dealer in foreign exchange across the entire country.
The firm is anticipated to maintain the momentum of foreign business expansion in the future while continuing to offer users in the United States secure and legal digital asset services.
Huobi scores another one with its trust company
In December 2020, Huobi Trust Company, a division of Huobi Technology (HT) that provides trust services for digital assets, received a trust license from the Nevada Financial Institutions Division. The organization was permitted to provide custodial and compliance services in the US thanks to the license.
Furthermore, it has been claimed that in the future, HT intends to “consolidate the momentum of international business expansion” and offer additional digital asset services to U.S. users.
The subsidiary of the Huobi Group, which manages the Huobi Exchange, called Huobi Tech is listed in Hong Kong. Despite not having a formal affiliation, the two businesses have Leon Li as a common stakeholder and use similar branding.
Huobi Group first made an entry into the US crypto market in 2018. Due to regulatory concerns, the firm had to exit the market. However, in February this year, the founder Du Jun said that the company planned to make yet another entrance into the US crypto market.