Driven by the company’s strong financial results, Huobi completes an 11.3M Huobi Token (HT) burn, a 70.6% increase over the same period last year.
Huobi Global announced the completion of an 11,332,100 Huobi Token (HT) burn for Q3 2019, which had an approximate market value of $40.63M as of the close of business yesterday. The latest burn represents a 70.6% year-over-year increase compared to Q3 2018 and was prompted by the continued growth of Huobi’s spot trading and derivatives trading markets.
“Huobi Token plays a core role in the Huobi ecosystem. The continued growth from Huobi’s token burns reflects the community’s active participation and optimistic outlook for our efforts to provide users with new services, lower fees, and a secure platform to trade on,”
said Livio Weng, CEO of Huobi Global.
As per the plan for the ongoing HT burn, Huobi allocates roughly 20% of Huobi Global and Huobi DM’s revenues to repurchase and burn its native token every quarter, effectively reducing the total circulating supply of HT. In the preceding quarter—Q2 2019—Huobi Global bought back and burned 14,011,700 HT worth an estimated $53.6M, more than double its major competitor, which burned 808,888 tokens worth an estimated $23.8M during the same period.
Weng attributes Huobi’s strong performance to the rapid success of new platforms like Huobi OTC Desk and Huobi DM, which recently surpassed its major competitors in 24h trading volume despite having only launched late last year. Weng also credits programs like the newly launched All-Star VIP Fee Structure, FastTrack, and Prime which encourage users to participate in the Huobi ecosystem with HT.
To date, over 30,000,000 HT have been burned through Huobi’s program, accounting for 13.8% of the total circulation.
Wang added, “It’s healthy competition. We are winning in terms of the speed, innovation, and quality of services we put out into the market, and we expect this trend to continue to be reflected in Huobi’s quarterly HT burns.”