The Securities Commission Malaysia (SC) ordered Huobi Global to stop operations in the country, including disabling its website and mobile applications, because it is operating a digital asset exchange without registration.
The regulator told the company to cease circulating, publishing or sending advertisements to Malaysian investors, according to an Monday announcement.
Operating a digital asset exchange without obtaining registration from the SC as a Recognised Market Operator is a offence under the Capital Markets and Services Act.
The regulator ordered CEO Leon Li to ensure the directives are carried out, and urged Malaysian investors using Huobi Global to stop trading on its platform, withdraw their funds and close their accounts.
Huobi has been contacted for comment.
CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk offers all employees above a certain salary threshold, including journalists, stock options in the Bullish group as part of their compensation.