Huobi Token is established as the internal cryptocurrency of the Huobi exchange. This global trading platform is considered one of the largest in China. The HT token is among the top 50 cryptocurrencies by market capitalization. In this article, we’ll find out the use of Huobi Token, where to store and exchange this crypto, and whether it is a good investment.
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Huobi Token Basics
The creation of digital money data does not set itself the ambitious goal of becoming a ubiquitous legal tender. Huobi token is made for the internal functionality of the exchange. The native cryptocurrency increases the trading platform’s capitalization and expands user capabilities through additional investment opportunities.
The developers plan to include the following aspects in the functioning of Huobi Token:
- when using internal cryptocurrency, the size of the commission charged for financial transactions on the site is reduced by up to 50%;
- for holders of this cryptocurrency, there is the possibility of receiving additional Huobi Token for participating in the exchange platform’s events;
- many trading pairs with (e.g. BTC, ETH, and USDT) are introduced for the convenience of converting and trading the internal cryptocurrency;
- a voting and co-management program in exchange development for Huobi Token holders.
20% of the profits will be directed to the buyback of tokens at market value. The acquired Huobi Token will be reserved in a specially set up fund to provide compensation and investor support. This approach creates certain guarantees for depositors and users of the exchange and forms support for the growth of the cryptocurrency’s value.
Investing in Huobi Token
After the Chinese government introduced restrictions and bans on trading platforms, many large exchanges faced severe problems. Huobi was no exception. The company had to change its trading model to OTC and, at the same time, expand its activities in international markets.
When it comes to investing in Huobi Token, the developers highlight one key point. This digital money is not being developed with any ambitious prospect of becoming a ubiquitous means of shopping and settlement.
Such tokens are created for a specific purpose; their functionality is designed to solve exchange issues. This narrow focus somewhat limits the growth potential of the cryptocurrency. It also establishes the basis for stable development and does not contain risks associated with technical implementation and user relevance.
Huobi Token can be an investment vehicle. For short-term investments, a period of quarterly purchases of tokens by developers is allocated. At such times, on growth and subsequent correction, you can get a stable profit.
For long-term deposits, this cryptocurrency will be more beneficial to users of the exchange itself. Various promotions, participation in the management of the trading platform, discounts on commissions – all this makes investments in Huobi Token assets in demand.
Huobi Token (HT) Wallet
There are not a great variety of wallets to store; one of the main is Huobi Wallet. It is a cryptocurrency multi-wallet which supports BTC, ETH, EOS, TRX, USDT, and all the ERC-20 tokens. Huobi Wallet provides the option for a quick exchange, supporting the exchange of different coins between chains.
Where to Trade Huobi Token (HT)
Generally, Huobi Token can be traded for almost every cryptocurrency on Huobi Global. However, there are some more exchange platforms to choose from.
Even though the primary purpose of HT is to use traders for intra-exchange settlements, the investment attractiveness of the Huobi Token cryptocurrency is also sufficient. Most often, coins become an object for short-term investments; in particular, investor activity increases in the periods before the redemption of coins for the HIPF.
Huobi Corporation does not stand still and regularly launches new products for its customers, thereby keeping users interested in HT tokens. HT is the personification of the success of the exchange, so while we see the capitalization and development of Huobi Corporation, HT will also grow steadily.
Disclaimer: Please note that the contents of this article are not financial or investing advice. The information provided in this article is the author’s opinion only and should not be considered as offering trading or investing recommendations. We do not make any warranties about the completeness, reliability and accuracy of this information. The cryptocurrency market suffers from high volatility and occasional arbitrary movements. Any investor, trader, or regular crypto users should research multiple viewpoints and be familiar with all local regulations before committing to an investment.