DeFiLlama data shows that Huobi now has a balance sheet of about $2.5 billion. The balance sheet is down $3.1 billion since the beginning of the year. Huobi also has about $1 billion in highly liquid assets, including $886.92 million in bitcoins, $48.27 million in USDT and $5.41 million in USDC.
Earlier, Hong Kong financial media reported on the arrest of Huobi representatives in China. Colin Wu of Wu Blockchain clarified, “A large number of senior executives have been detained and questioned by Chinese police.” A Huobi spokesperson denied the reports.
In March, the U.S. Securities and Exchange Commission (SEC) filed a lawsuit against Huobi CEO Justin Sun, accusing him and three of his companies – Tron Foundation, BitTorrent Foundation and Rainberry (developer of the BitTorrent protocol) – of selling securities in the form of Tronix (TRX) and BitTorrent (BTT) cryptocurrencies.&#nbsp;
Recently, Sun unexpectedly withdrew about $52 million in stablecoins from the AAVE decentralized finance protocol, impacting borrowing rates.
In April, Twitter reported as if Sun had been arrested in Hong Kong for unknown reasons. These rumors began to spread quickly across the web, which negatively impacted the TRX exchange rate, which collapsed to $0.062. The businessman later denied the reports.