Cryptocurrency exchange Huobi has announced that it will discontinue its Huobi Cloud Wallet platform in May 2023 citing “product and strategic adjustments.”
According to an announcement on the Huobi support page, maintenance and updates to the multi-token wallet service will officially stop on February 13. Users still using Cloud Wallet are encouraged to transfer cryptocurrency and non-fungible tokens (NFTs) to their main Huobi accounts or other wallet addresses.
Huobi Cloud Wallet’s withdrawal and transfer features will work for the next three months, while users are warned not to transfer digital assets to their Cloud Wallet. The official retirement date of Huobi Cloud Wallet is May 13, 2023.
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Huobi Wallet changed its name to iToken in May 2022 following a $200 million investment from Huobi Group. Huobi’s cloud wallet was originally thrown out in October 2021 as a feature of Huobi Wallet, allowing users to manage digital assets without private keys.
The provision of a custodial wallet service was aimed at driving easier access to Decentralized Finance (DeFi) applications and services. Cloud Wallet allowed users to hold tokens without having to manage private keys, with a third-party management system that held users’ private keys in escrow.
Huobi Global users were promoted to enjoy seamless synchronization with the Cloud Wallet service, being able to transfer tokens between the platforms to access various DeFi projects.
Huobi also made headlines in January 2023, delisting 33 different tokens that violated a number of prerequisites to maintain their listing on the exchange. The exchange confirmed plans earlier this year to cut 20% of its staff as part of its restructuring following Justin Sun’s acquisition of the company.
Cointelegraph has contacted Huobi to determine the main reasons for the discontinuation of the Huobi Cloud Wallet.
