FAILDEX失樂園
中文

Huobi China

The business, the turning points, and the decisions behind them.

Founded2013
Event year2021
FundingUS$300M
Cash burnedUS$300M

01 / WHAT IT BUILT

What the company did

Huobi, founded in 2013, grew into China's largest cryptocurrency exchange, with co-founder Du Jun as a public face. It operated spot trading, derivatives (including Huobi Mall custody/mining) and the Huobi Token (HT), serving a large base of mainland Chinese users alongside global business; roughly 70% of its business had moved outside China by 2021.

02 / Huobi China FAILURE REASONS

Failure reasons

Huobi's China business died by regulation, not by product failure. In September 2021, ten Chinese authorities including the People's Bank of China declared virtual-currency business illegal and banned overseas exchanges from serving China-based users. At a September 24, 2021 shareholder meeting, shareholders unanimously decided to leave China: Huobi stopped new mainland registrations, shut derivatives for Chinese users in October, and retired all existing China accounts by December 31, 2021, refocusing on Singapore and other compliant jurisdictions.

03 / EVENT HISTORY

Events in the structured record

  1. Operations ended

    Huobi Global announcement stopped new mainland China user registration from 24 Sep 2021 (UTC+8) in response to regulatory requirements.

04 / CONTEMPORARY REBUILD ASSESSMENT

Difficulty of rebuilding this project today

Material for this section is being gathered and checked. It will appear here once ready.

Rebuild difficultyPending assessmentNot completed
Scoring basisNot completed
ScalabilityPending assessmentNot completed
Scoring basisNot completed

Overall assessment: Not completed

05 / CAUSAL CHAIN

How the factors connect

  1. 01

    Watch the regulator as closely as the market: the PBoC's September 2021 ban gave Huobi no room to negotiate.

  2. 02

    Prepare an orderly exit playbook before you need it: Huobi's phased wind-down (new signups, derivatives, then accounts) protected user assets and its reputation.

  3. 03

    Diversify jurisdiction early: Huobi survived because 70% of its business was already outside China when the exit came.