Huobi Global, a prominent digital asset exchange, has been ordered by the Securities Commission Malaysia (SC) to halt its operations in the country. The regulatory body has demanded that Huobi Global disable its website and mobile applications due to the exchange’s failure to register as a Recognised Market Operator.
The SC has taken a firm stance against the operation of digital asset exchanges without proper registration, citing the offence under the Capital Markets and Services Act. In an announcement made on Monday, the regulator instructed Huobi Global to immediately cease circulating, publishing, or sending any advertisements targeted at Malaysian investors.
The order specifically targets CEO Leon Li, placing the responsibility on him to ensure the directives are fully carried out. The SC has also appealed to Malaysian investors who are currently using the Huobi Global platform to discontinue trading, withdraw their funds, and close their accounts.
This move by the Securities Commission Malaysia underscores the country’s commitment to maintaining a regulated and secure environment for the digital asset industry. By requiring registration from digital asset exchanges, the SC aims to ensure compliance with relevant laws and safeguard the interests of investors.
Huobi Global, a leading global player in the cryptocurrency market, has also faced regulatory scrutiny in other jurisdictions. The company’s operations in Malaysia have now come under the spotlight, prompting the SC to take swift action against the unregistered exchange.
This development serves as a reminder to other digital asset exchanges operating in Malaysia to adhere to regulatory guidelines and obtain the necessary approvals from the Securities Commission. Failure to do so may result in similar consequences, highlighting the importance of compliance within the rapidly evolving cryptocurrency landscape.
As Huobi Global complies with the SC’s order and suspends its operations in Malaysia, the future of the exchange’s presence in the country remains uncertain. The Malaysian cryptocurrency community awaits further updates on the regulatory actions and how they may impact the local digital asset market.
