Huobi Token (HT) is an exchange token issued by Huobi, an exchange originally based in China. HT is classified as a utility token and follows the ERC-20 technical token standard.
Huobi Token was launched in January 2018 with a total supply of 500 million. Because the Chinese government banned initial coin offerings (ICOs) and crypto trading in China in September 2017, Huobi could not hold a sale for the HT tokens. Instead, the company gave away 300 million (60%) Huobi Tokens to users who purchased a service fee package on the Huobi exchange. With the remaining supply of HT (200 million), 20 percent went to user rewards and platform operations while the other 20 percent was allocated to the team with a lock-up period of four years.
HT token holders receive transaction fee discounts, early access to special Huobi events, crypto rewards from seasonal buybacks, and voting rights on exchange decisions (e.g. what new assets will be included on the exchange).
To control its supply, Huobi uses 20 percent of its quarterly net profits to buy back HT based on its market price. The funds bought back are stored in an Ethereum address as a reserve called the Huobi Investor Protection Fund (HIPF). If the exchange is ever hacked and user funds are compromised, the HIPF will be used to restore the funds to the affected users.
Huobi is one of the oldest cryptocurrency exchanges still in operation. Huobi Group was established in 2013 in China by Leon Li. Before starting Huobi, Li was a computer engineer at Oracle.
At the time of this writing, Huobi is headquartered in Singapore and has offices in the United States, Hong Kong, South Korea, and Japan.Read More