Justin Sun’s Huobi and Poloniex merge under Huobi brand
Justin Sun, the founder of Tron, has merged Huobi and Poloniex, creating a new crypto ecosystem that will challenge larger exchanges under the Huobi brand.
In the middle of a brutal crypto winter, Justin Sun has combined the operations of exchanges Huobi and Poloniex under the Huobi brand. The disclosure comes from an employee letter that was shared with media.
Huobi looks to the future of exchange growth
Under the new corporate structure, Poloniex departments like product design, liquidity, assets, market & operations, customer service and compliance will be transitioned to the Huobi brand.
据知情人士披露的 Huobi 全员信显示，加密货币交易平台 @Poloniex 多部门将并入 @HuobiGlobal，包括资产、市场&运营、产品设计、流动性、客服、合规等相关工作的员工将融入 #Huobi 团队。Poloniex Business Center 下设二级部门 Engineering 与 Infrastructure。https://t.co/x3ZmOM0aWo
— ChainCatcher 链捕手 (@ChainCatcher_) March 9, 2023
While details are scarce at the moment, the move to a united company may save the group money, and focus expenditures on a single brand identity.
Sun has a reputation for being a bold and ambitious entrepreneur, and this move is certainly in line with that reputation. The merger of these two exchanges will create a behemoth in the crypto world, with a combined user base of over 10 million users and a daily trading volume of billions of dollars.
In addition, this news comes at a time when many companies are leaving the crypto space. Market darling Silvergate Capital has opted to wind down its bank, which demonstrates how hard the market has become.
A smaller field for bigger players
Justin Sun is eyeing a virtual assets license in Hong Kong, and with the additional resources that the team at Poloniex bring to the new group, the company will have more to offer both retail and institutional traders.
With the collapse of FTX in the rear view mirror, crypto market majors like Huobi are looking for ways to take advantage of the opportunities that are in the marketplace.
This merger may create a more powerful and efficient platform for traders, with increased liquidity and more trading pairs available. What the future holds for this ambitious merger remains to be seen, and it could have a major impact on the cryptocurrency industry as a whole.