- According to onchain data, an address allegedly linked to Justin Sun has transferred a total of $209 million to Huobi;
- The platform’s TVL has risen sharply in the background. Prior to that, analysts had recorded significant capital outflows from the exchange.
- One expert said Huobi was insolvent.
An unidentified large holder transferred $200 million in USDT and $9 million in ETH to cryptocurrency exchange Huobi, according to Arkham Inelligence. Media outlets claim the address from which the tranche was conducted is linked to platform owner Justin Sun.
After the transfer, the platform’s TVL figure rose from $2.52 billion to $3.1 billion, according to DeFiLlama:
Notably, this holder is also one of the top 10 largest holders of TRX, the native token of Tron. He controls a 0.07% stake. However, in a comment for CoinDesk, a Huobi spokesperson denied that San made the tranche.
We previously covered an investigation by Adam Cochran, managing partner of the Cinneamhain Ventures (CEHV) venture capital fund. He said Huobi is effectively insolvent, with the site’s actual USDT reserves being about 15% of those displayed in internal audit results.
Justin Sun noted that it is FUD. He urged not to believe such information.
As a reminder, the USDT has yet to reestablish its peg to the dollar. Cochrane commented on the situation, emphasizing the growing pressure on the asset, including from other cryptocurrency exchanges.
Cockran said.