After China recently banned all crypto-related activities in the country, the Huobi Global crypto exchange had to prevent mainland Chinese citizens from registering on the platform. As a consequence, the Huobi pool – the eighth biggest BTC pool- is now moving a massive amount out of their funds, possibly to cover the client withdrawal needs on the exchange.
$ 4.21 billion from miners
Data from research firm IntoTheBlock shows that Huobi Pool recently moved nearly 100,000 BTC or $ 4.21 billion at the time of writing. This is the largest inflow of funds since December 18, 2017, a year that saw Huobi dealing with Chinese authorities after they banned cryptocurrency trading.
Ethereum wallets were also on the move. At 6:50 a.m. UTC on September 26, several ETH whales moved around 800,000 ETH – $ 2.29 billion – from Huobi to unknown wallets. It seems that most transaction activities came from a few wallets transacting batches of 100k ETH, as per data from Etherscan.
On the same day, Ethereum and Bitcoin both recorded negative daily exchange flows of more than $ 100 million each, according to data from Glassnode.
China’s Constant Attacks on Crypto
The constant Chinese crackdowns on cryptocurrencies have pushed exchanges to halt their operations in the country and stop new users from accessing their platforms. Interestingly, Huobi was one of the first affected.
Now, most of the market is in red again, with losses that top $100 billion in the last couple of days. Ethereum has been one of the hardest-hit currencies, as the crackdown forced the world’s second-largest ETH mining pool, SparkPool, to suspend services for all of its users in an effort to be “in full compliance.” regulatory requirements, ”as the company put it.
“SparkPool had stopped providing services to new users from mainland China on September 24, 2021 (UTC+8). A complete shutdown of all SparkPool services and operations for existing users, at home or abroad, has been scheduled for September 30, 2021 (UTC + 8) at 8:00 p.m. in order to ensure the security of our assets. users.
Separately, the NDRC (National Development and Reform Commission of the People’s Republic of China) confiscated 10,100 crypto mining rigs from a government-operated tech park in Inner Mongolia.
