HBIT Inc, a subsidiary of Huobi Technologies, has been granted a Money Services Business Registration License (MSB) by the United States Financial Crimes Enforcement Bureau (FinCEN).
The trading platform is pleased with its latest step, as it has recently faced major challenges in its global operations.
HBIT is now well-positioned to offer “conduct foreign exchange (Dealer in Foreign Exchange) and money transfer (Money Transmitter) operations throughout the United States,” adding that “in the future, Huobi Technology is expected to further provide users in the United States with safe and compliant digital asset services and consolidate the momentum of international business expansion.”
The United States is arguably one of the countries where obtaining an operating license might be difficult.
The fact that HBIT was able to secure the license is seen as “another progress in Huobi Technology's compliance process, creating a good compliance foundation for the company to carry out digital currency-related business in the United States in the future, so as to further achieve the strategic goals of globalization and compliance.”
Huobi, like Binance, has recently experienced intense regulatory scrutiny, forcing it to depart important Asian markets. While Huobi no longer operates in China due to a year-old prohibition on Bitcoin and cryptocurrency activities, the Securities and Exchange Commission (SEC) recently lost its license for noncompliance with operational rules.
The HBIT-MSB license appears to be a significant consolation for the trading firm, as access to US markets is at best a very large catch in comparison to those it has lost. While the exchange faces numerous local competitors, it can rely on its parent company to carve out a place for itself in the near to long run.
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