Huobi $HT

Huobi, ranked as the third-largest cryptocurrency exchange in the world, has recently ushered in an innovative currency, the Huobi Token (HT). The primary goal of HT is to appreciate Huobi's vast user base, largely concentrated in Asia, by rewarding them with lowered transaction fees and trading pairs. HT is essentially a loyalty program, a successful strategy previously employed by other exchanges, with the most successful example being Binance Coin (BNB).

The Launch of Huobi Token

Huobi made the official announcement to launch its new token on January 22, 2018. Over a span of 15 days, Huobi distributed 60% (300 million HT) of the total supply to its loyal pro users who bought a specially discounted service package. The distribution scheme of the token was unique because it didn’t resemble a typical Initial Coin Offering (ICO). Instead, users purchased a specific service package that included HT, which would later be used for reduced trading fees.

Recovery Strategy

The introduction of the Huobi Token was part of a broader strategy aimed at recovering its user base, which was drastically affected by tighter regulations in China. According to Huobi's founder, Leon Li, these new rules had reduced Huobi's trading volume by an enormous 95% between September 15 and November 1, 2017.

Distribution of Huobi Token

The distribution of HT token commenced on January 24 and concluded on February 7, 2018. Every day of the distribution, millions of tokens were sold out in a matter of minutes. At the end of the distribution period, a total of 300 million HT had been disseminated to Huobi Pro members who had purchased packages. This represents 60% of the total supply currently in circulation.

Allocation of Huobi Token

Out of the total supply, an additional 200 million HT (40%) was reserved. 20% of the total supply was dedicated to user rewards and platform operation. The remaining 20% was vested for four years and forms the team reward.

Pioneers of Exchange Tokens

Huobi is not the inaugural exchange to implement its own token. Other exchanges like Binance (BNB), Bibox (BIX), KuCoin (KCS