HT, the native token of Huobi Exchange, plunged 90% on Thursday, falling from $4.6 to $0.31 in a span of 10 minutes. The price has since recovered, but HT is still down almost 20% over the last day and is currently trading at $3.81.
Other crypto assets linked to Tron founder Justin Sun also fell. TRX, for example, fell more than 12% in the last 24 hours, from $0.066 to $0.057.
- Despite this, the executive assured that Huobi’s operations are safe and dismissed the incident as normal market behavior.
- Sun, which happens to be the largest holder of the HT token, apologized for the market fluctuation caused by “a few users triggering a cascade of forced liquidations in the spot and HT contract markets.”
- The executive intends to establish a liquidity fund with an investment of $100 million for those affected by the leveraged liquidation in the market. He too confirmed a transfer of $100 million in USDC stablecoin to Huobi.
“We will continue to improve the liquidity depth of major cryptocurrencies and the HT token, strengthening leverage risk warnings and liquidity capabilities.”
- in a updateSun also revealed that Huobi is tasked with taking all leverage position losses on the crypto exchange that occurred from this HT market volatility event.
- Strengthening leverage risk warnings and liquidity capabilities are some of the areas that require attention, according to the executive, who also serves as an advisor to the crypto exchange.
- In the minutes before the crash, more than $2 million worth of HT tokens were sold on Huobi, according to the transaction. data Provided by Kaiko Research Analyst Riyad Carey.
- In addition, it was reported that Sun moved $60 million worth of USDT from Huobi to Aave, which Nansen saying it might not be related to the event.
Huobi Token Flash Post Crashes 90% In Minutes – Here’s Everything You Need To Know Appeared First On CryptoPotato.
