- Justin Sun transfers $100 million to Huobi.
- According to Sun the move would bolster confidence in the exchange.
- Huobi recorded a net outflow of $60.9 million in 24 hours following FUD.
The crypto tycoon and creator of Tron, Justin Sun, moved $100 million worth of his stablecoins to his crypto exchange Huobi after announcing that the exchange was laying off employees. According to Nansen blockchain data, the funds were transferred from Binance to Huobi, where Sun owns a controlling share.
The funds were dispersed in USD Coin (USDC) and Tether (USDT). Sun later noted that he sent the “personal funds” because doing so “shows the confidence to Huobi exchange.” Martin Lee, a Nansen analyst, commented that the move “might be to help with the increased withdrawals or maintain a level of confidence in the exchange.”
Per crypto tracking platform WhaleAlert, Justin Sun previously transferred USDT valued at around $50 million to Binance. In addition, the tracker revealed that USDC and USDT tokens worth a total of $100 million were also transferred from an anonymous wallet to Huobi.
Huobi, based in Singapore, is the fourth biggest digital asset exchange by 24-hour trading volume, with $371 million transacted in the last 24 hours. The exchange has recently been experiencing panic amongst its clientele, with Reuters reporting earlier that 20% of its workforce would be laid off.
Furthermore, last week, independent crypto journalist Colin Wu reported that the exchange’s staff salaries were being paid in stablecoins, prompting employee protests. According to Nansen, Huobi has seen net outflows worth $94.2 million in the past week, with $60.9 million withdrawn over the past 24 hours.
Meanwhile, Sun and his team have claimed on many occasions that the exchange is being surrounded by FUD (fear, uncertainty, and doubt). Talking about recent events, Sun took to Twitter to state:
At Huobi, our strategy is to “Ignore FUD and Keep Building.” By staying true to our mission, investing in technology and security, listening to our users, we’re able to provide a trusted and reliable platform for our users to buy, sell, and trade cryptocurrency.