Huobi Tech Subsidiary Is Granted US Money Transfer License

Huobi Technologies (1611.HK) said its brokerage subsidiary, HBIT, has obtained a license to conduct foreign exchange and money transfer operations across the U.S., a step along the way for it to offer cryptocurrency transactions.

• HBIT received a Money Services Business Registration License (MSB) from the U.S. Financial Crimes Enforcement Bureau (FinCEN), according to a statement Tuesday.
• "This is progress in the compliance process of Huobi Technology, creating a good compliance foundation for the company to carry out digital currency-related business in the United States in the future," the statement said.
• Another branch of Huobi Technology, digital asset trust provider Huobi Trust Company, obtained a trust license from the Nevada Financial Institutions Division in December 2020. The license enabled the company to offer custodial and compliance services in the U.S.
• In the future, Huobi Technology plans to provide U.S. users with more digital asset services and "consolidate the momentum of international business expansion."
• Huobi Tech is the Hong Kong-listed affiliate of Huobi Group, under which the eponymous exchange operates. The two companies share a common shareholder, Leon Li, and branding but are not formally affiliated.
• Last year after China's cracked down on crypto in May, Huobi Group scrambled to move its China staff overseas.
• Huobi Group entered the U.S. in 2018 but exited in December 2019 due to regulatory concerns. In February this year co-founder Du Jun said the company planned to re-enter the U.S. market.