Huobi’s South Korean subsidiary, Huobi Korea, will operate as a stand-alone entity after cutting ties with Huobi Global, according to a report from the Korean news outlet News1.
Leon Lin, the founder of Huobi Global, owned more than half of Huobi Korea. The next major shareholders include Huobi Korea Chairman Jo Guk-Bong and the Korea Land Trust.
The move will involve negotiating ownership of the share capital, according to the report. Jo, who also owns a crypto mining business, will buy Lin’s majority stake.
It’s worth noting that Huobi Global has faced some backlash from the community recently. The exchange apparently ordered its employees to accept wages in USDT/USDC or face termination.
Justin Sun’s HR department is contacting all Huobi employees to change salary form from fiat currency to USDT/USDC; employees who cannot accept it may be fired. The move sparked protests from some employees. Exclusive https://t.co/QB4sjDyHc7
— Wu Blockchain (@WuBlockchain) January 4, 2023
Some Twitter users claimed that the exchange closed communication channels with its internal employees. In addition, some have accused the firm’s general counsel, Justin Sun, of withdrawing more than $1.5 billion since last October.
–@HuobiGlobal has closed its communication group with internal employees and has blocked all channels of communication and feedback with its workers.
Justin Sun, an “advisor” to the exchange, seen by many as the man in charge, has cashed out over $1.5B in fiat since October. #Huobi #trx pic.twitter.com/3KL6kBVLRF
— Thichruiro.eth (?,?) ?.L2 (@Thichruiro) January 6, 2023
As the company faced problems, Huobi recently confirmed that it would lay off 20% of your staff after your adviser denied there would be staff reductions. Additionally, analytics firm Nansen reported on Jan. 6 that the exchange saw $94.2 million in net departures during the previous seven days: $60 million within the previous 24 hours.
Although Huobi advisor Justin Sun maintained positive sentiment regarding the exchange, Huobi’s HT token fell from $5.3688 to $4.3432 January 6th. HT is currently trading at $4.90, according to CoinMarketCap.
