Is Huobi Legal and Accessible in the United States? An In-Depth Look into Cryptocurrency Exchange Regulations
The landscape of digital currencies has been continuously evolving since their inception, attracting both speculators and institutional investors. Among the leading players in this rapidly growing market is Huobi Technology Holdings Co, a major cryptocurrency exchange that has recently expanded its operations to include the United States of America through its subsidiary, HBIT Inc. This move comes after receiving approval from the U.S. Financial Conduct Authority (FCA). However, the legality and accessibility of Huobi in the U.S. have been subjects of much debate, especially considering the strict regulatory environment surrounding digital assets in the country.
The United States has long recognized the unique nature of cryptocurrencies, acknowledging them as both commodities and securities under different circumstances. This dual-natured classification has led to a complex regulatory framework that requires cryptocurrency exchanges operating within U.S. borders to obtain specific licenses from regulatory bodies such as the Financial Crimes Enforcement Network (FinCEN) for money services businesses or the Securities and Exchange Commission (SEC) for securities.
In April 2021, Huobi Group announced its intention to acquire a license to offer its full suite of crypto exchange services under Dubai's Virtual Assets Committee due to regulatory hurdles in the U.S. This decision was driven by concerns over compliance with local laws and regulations that make it difficult for non-U.S. based cryptocurrency exchanges to operate within the country legally.
Despite this, Huobi has been exploring ways to accommodate users from the United States. In August 2025, PureVPN provided a solution to users in the U.S. wishing to access Huobi Global by offering secure and private browsing capabilities, allowing individuals to trade cryptocurrencies on Huobi while circumventing geographical restrictions imposed by the platform.
However, it is important to note that legal status can change with time as regulatory environments evolve. As of December 2020, Huobi's U.S. operation, known as Huobi US (HBUS), ceased its operations due to concerns regarding compliance and regulatory pressures, citing the difficulty in navigating the complex regulatory landscape for cryptocurrency exchanges in the United States.
The restrictions on cryptocurrencies are not exclusive to the United States but extend globally, with countries adopting different approaches towards digital assets. As of August 2024, Huobi (HTX) listed restricted countries and regions, further emphasizing the complexity surrounding the legality and accessibility of cryptocurrency exchanges like Huobi in various jurisdictions.
In conclusion, while Huobi has shown its willingness to navigate the regulatory landscape and expand into the United States, the legal status of the exchange within this country is subject to change. The U.S. financial conduct authority's approval for HBIT Inc. to offer its full suite of crypto exchange services indicates a potential future where cryptocurrency exchanges like Huobi may be fully operational in the U.S. However, users should remain vigilant about regulatory developments and seek guidance from legal experts before engaging with digital asset platforms that may have restrictions or challenges accessing their services in the United States.