What Is Huobi Token (HT)?
Huobi Token (HT) is a token that resides on the Ethereum network and is based on the ERC-20 token standard. It’s the native cryptocurrency of Huobi Global, which is a crypto exchange originally based in China.
Huobi Global pairs the Huobi Token with a variety of well-known cryptocurrencies, making it simple and convenient to swap. Besides, the standing of the Huobi exchange partially impacts the Huobi Token price.
The token's primary purpose is to lower exchange trading commissions. Apart from that, it has other functions and benefits:
- HT acts as a governance token allowing holders to participate in the decision-making processes on the exchange.
- HT can be used to get monthly VIP plans on Huobi Global that provide users with lower transaction fees.
- Holders of HT can get cryptocurrency incentives from buybacks.
- Holders of HT are granted early access to Huobi events.
- Holders of HT receive coins each time a new cryptocurrency asset is listed.
To perform these tasks, Huobi has made an effort to maintain the Huobi Token price at a reasonably stable level. The corporation sets aside 20% of income for a token buyback scheme in order to control inflation.
How does it work? The aforementioned 20% of Huobi's quarterly revenue is used to repurchase HT, which is then airdropped to current HT holders and set aside in the Investor Protection Fund.
The Fund provides compensation to investors when they experience monetary losses brought on by possible fraudulent activity or other hazards related to crypto trading.
In addition to that, Huobi also protects the assets of HT holders by employing the Security Reservation Mechanism. It’s another fund utilized for compensating users. It compensates HT holders for any asset loss that is not caused by users themselves.
Apart from having the funds, the Huobi crypto project takes other security measures to keep its users protected.
Firstly, it employs an anti-DDoS attack system, which is a physical layer of protection that stops hackers from flooding the system with traffic and sabotaging its resources. Furthermore, Huobi Global guarantees the security of user accounts and assets by employing a risk management strategy known as "Don't Be Evil." Lastly, 98% of HT coins are kept in a multi-signature cold wallet.
If you’re interested in the current Huobi Token price, you can take a look at the HT price chart above.
The Founders of Houbi Group
In 2013, Leon Li and Jun Du founded the Huobi Group, which encompasses the whole ecosystem of Huobi, including its exchange, token, and other products. The Huobi Token was only launched in 2018. At the time of its launch, the HT price balanced roughly between $1.35–$2.50. It has been noted to be mildly volatile in its early notes.
Leon Li has a degree in computer engineering. Prior to founding Huobi, he was a computer engineer at Oracle. Since its inception, Leon Li has been a huge supporter of Bitcoin. He wished to increase public awareness of blockchain and cryptocurrency technology.
Jun Du has a lot of experience in the field of blockchain technologies. He’s the founder of Jinse, as well as the CEO of Node Capital and the co-CEO of BiKi.com. Besides, in the past, he also worked at such companies as Comsenz and Tencent.
Additionally, Huobi Central was also joined by Herbert Rafael Sim in 2018 as digital marketing and public relations director. Herbert Rafael Sim is the founder of Crypto Chain University. Besides, in the past, he contributed to such companies as The Huffington Posts, Forbes, and Wardrobe Trends Fashion.
Huobi Token price, similar to other crypto assets, is affected by the volatility of the whole crypto market.
Tokenomics of Huobi Token
The max supply of Huobi Tokens is 500 million. The limited supply makes this asset anti-inflationary. Over time, the available supply is going to decrease, thus increasing the Huobi Token price.
Initial Coin Offerings (ICOs) and cryptocurrency trading were outlawed in China in September 2017, hence Huobi was unable to conduct a sale for the HT tokens. Therefore, the company conducted an initial exchange offering (IEO) instead.
In essence, Huobi exchange VIP members received HT tokens directly, while other traders were able to purchase bundles of services to receive a certain amount of HT tokens. This way, 300 million HT tokens were distributed among Huobi exchange users. The remaining portion (200 million) was dedicated to platform operations and user incentives as well as the Huobi team (with a four-year vesting period).
If you’re planning to buy Huobi Tokens, note that the HT price is prone to change. The latest data regarding the asset's market performance is available in the chart above.