Huobi Records $94.2M in Outflows as Justin Sun Deposits $100M

• Huobi exchange recorded $94.2 million in net outflows over the past seven days.
• Stablecoin and Ethereum wallets with high balances experienced the highest outflows.
• Tron founder Justin Sun deposited $100 million worth of USDT and USDC in Huobi.

Huobi, the world’s leading cryptocurrency exchange, recently experienced a significant net outflow of $94.2 million over the past seven days. According to data provided by Nansen, over $60 million (63.8%) of the outflows were recorded in the previous 24 hours. The exchange saw significant inflows of $87.9 million on December 15th and $46.04 million on December 28th, but since then, outflows have exceeded $200 million.

Nansen reported that the highest outflows were seen from stablecoins addresses (USDT and USDC) and Ethereum (ETH) wallets with high balances. Additionally, Huobi confirmed plans to lay off 20% of its staff in a “structural adjustment” that will be completed within the first quarter.

Furthermore, the exchange controls over 80% of HT, its native token. Earlier today, the token experienced a sell-off that saw its value drop by over 6%; however, its value rebounded and grew to $4.66590 as of press time.

The data also revealed that Tron founder cum Huobi’s advisor Justin Sun deposited $100 million worth of USDT and USDC in the exchange. This was followed by a buy wall of 1M HT, which further fueled speculations around the deposits. However, Justin Sun dispelled the rumors surrounding the exchanges, emphasizing that the deposits were only part of his regular activities.

Overall, it appears that Huobi’s outflows are a result of the exchange’s structural adjustment and changes in trader’s preferences. It remains to be seen how the exchange will tackle the situation and generate more inflows.