Crypto Exchange Huobi Experiences Heavy Token Outflows: Nansen

Traders may be skeptical about the continued health of Huobi, on-chain data indicates.

The exchange, which saw turbulent trading in the Asia hours for its HT token after it confirmed a 20% headcount reduction, has experienced outflows of $64 million in the past 24 hours. This brings its weekly outflow count to over $100 million, according to Nansen data, and compares with $22 million at rival Kraken.

According to CoinGecko data the token had a 24 hour trading volume of only $21 million compared with a market cap of $770 million.

Its +2% bid depth also remains comparatively narrow, according to CoinGecko data, when compared with other tokens of a similar market cap. In a recent column, Kaiko’s director of research, Clara Medalie, pointed out that the lack of 2% bid depth was a major red flag for FTX’s FTT token.

Meanwhile, on-chain research house Look On Chain, said Justin Sun, who sits on Huobi's advisory board, cashed out $100 million in USDC and USDT from Binance.

Huobi’s key to success is to "Ignore FUD and Keep Building," he tweeted.