Justin Sun Withdraws $60M from Huobi: Is It Insiders Trading?
• Justin Sun withdrew $60 million from Huobi around the time of the HT Token flash crash.
• Sun defended his withdrawal, but some remain skeptical due to his past controversies.
• Allegations against Sun include insider trading and securities fraud.
Justin Sun Withdraws $60M from Huobi
On-chain data showed ~$60 million in stablecoins taken off Huobi around when HT Token lost 93% of its value. Justin Sun has defended his withdrawal from Huobi and also added funds back. Some are skeptical of the withdrawal on Twitter, while others believe it is simply bad timing.
HT Token Flash Crash
A sudden flash crash of Huobi’s HT token, the native token of the exchange, on Thursday, March 9th sent shockwaves around the crypto space–especially with recent crypto company collapses fresh in mind. Around the time of the collapse, Justin Sun withdrew ~$60 million in Ethereum stablecoins from Huobi. The funds were moved to DeFi protocol Aave.
Sun took to Twitter to explain the movement of the Stablecoins: „It is just normal practice of fund deployment,“ he said underneath a screenshot of on-chain data showing four large transactions amounting near $60 million. It is evident that this withdrawal was not directly related to the HT Token flash crash but rather bad timing for Sun who remains a controversial figure with many people suspicious of his actions on Twitter and beyond.
Sun’s controversies date back as far as September 2017 when he allegedly had insider knowledge about a Chinese ICO ban which allowed him to wrap up TRX ICO before China shut down ICOs completely. In addition, there are allegations that he has been involved in insider trading and securities fraud all which he has denied completely however these latest events have set alarm bells ringing across Crypto Twitter again raising questions about Justin Sun’s activities within cryptocurrency markets.
Ultimately we may never know whether or not Justin Sun’s withdrawal from Huobi was linked to any suspicious activities or if it was merely bad timing however given his past controversies and ongoing criticism towards him by Crypto Twitter users one can conclude that this may not be a wise move by him in trying to restore trust amongst those within cryptocurrency markets who have already made up their minds about him and his involvement in certain activities over recent years..