Crypto Lovers – Interview with Jeff Mei, Huobi Global

What makes consumers and institutions fall in love with crypto, and how to protect it? Jeff MayDirector of Global Strategy at Global Huobi share some ideas. Enjoy!

Jeff nice to meet you! Please tell us more about Huobi Group.

huabi global logo

Huobi Group was founded in 2013 with the mission of creating breakthroughs in core blockchain technologies and integrating blockchain technologies with other industries. Over the years, Huobi has grown its presence to include public channels, digital asset and wallet trading, mining pools, proprietary investments, digital asset incubation and research.

In addition to providing spot trading and derivatives to retail users, we also provide institutional services such as over-the-counter trading, asset custody, asset management, etc. And to grow our ecosystem, Huobi has invested in more than 60 companies in the blockchain industry.

Huobi’s 2,000 employees worldwide deliver secure, professional, reliable and world – class services to its global customers in around 170 countries.

So impressive that you cover 170 jurisdictions. Encourage! What are the key characteristics you have observed for each major region you serve, e.g. the US market, Brazil – LATAM, Europe, etc.?

In some markets, such as Turkey and Russia, crypto-adoption rates are high, and there are a large number of what you call VIP traders, or users who often trade large amounts of crypto, using sometimes advanced derivatives. In other markets such as India and Vietnam, there are a large number of retail users and more user training needs to be done. And in traditional financial centers, there is understandably a large concentration of institutional investors – for example, in London, many former foreign exchange and quantitative trading funds have moved into crypto.

If you were to describe the perfect crypto market (in terms of crypto-user adoption, regulator attitude, local government views on crypto, etc.), what would it look like?

The perfect crypto market, in my opinion, is one where the use of online banking is high, cryptocurrencies can be easily exchanged for fiat currencies, and regulators have not only accepted but also embraced cryptocurrencies. We imagine a world where regulators not only see the value that decentralized finance can bring to the masses, but also a world where governments understand and value the value that blockchain adds to different industries – especially how smart contracts can be used. to authenticate not only financial transactions but also processes in other verticals.

What about crypto-friendly banks? Is there?

I am aware that DBS has introduced a trust solution through DBS Trustee – the licensed trust company 100% owned by the bank – to enable its private banking customers to invest and manage their digital assets hosted on DDEX (such as Bitcoin, Ether , Bitcoin Cash). and XRP). The offer builds on DDEX’s existing proposal for private banking customers, which provides security and transparency for cryptocurrencies with institutional-grade custodian and custodian services and robust source pigeon diligence chain.

In March, you spoke at the Blockchain Africa conference on Hacks and Checks: What Keeps a Cryptocurrency Exchange Secure? What does he keep safe?

The rise in the price of cryptocurrencies and related assets over the years has attracted the attention of cybercriminals. Some crypto exchanges may be more prone to attack because they store large amounts of digital assets in hot wallets and these are easily accessible to cybercriminals. Such a practice is generally not recommended. In addition, errors and design problems in computer systems can lead to data breaches and security attacks by cybercriminals.

This can all be attributed to the fact that many systems are based on open source technology and cybercriminals are constantly trying to crack the codes.

At Huobi, we have the following measures in place to ensure the safety of our assets:

  • Separation of hot and cold wallets – 98% of digital assets are stored in cold wallets with multiple signatures, ensuring the security of the private key signing process

  • Multiple backups ensure the availability of private keys

  • A total of 15 private key controllers combined with multi-signature mechanisms ensure that the security of funds on the platform is not compromised due to actions of one or two people

  • Internally developed security hardware to ensure robustness and reliability in the warehouse

  • Strict security process

  • Fund of 20,000 BTC to handle emergencies

In the meantime, at user level, we can adopt these measures to protect ourselves:

  • When choosing a UCITS, choose a platform with strict security measures to avoid loss of assets due to platform security flaws

  • Secure access to your email account – If your email is compromised, you risk losing your digital assets on exchanges

Crypto-regulation is constantly changing (to the extreme); how does Huobi handle this (since you also operate in multiple jurisdictions)?

The development of the rules around cryptocurrency is not unexpected. They only reflect the cautious attitude of governments towards new technologies.

We strive to comply with new laws and regulations that may enter into force in the jurisdictions in which we operate, and have staff on site to keep us up to date with any legislative changes and developments. The landscape is dynamic, but we are more than ready for the challenge of operating and remaining compliant wherever we operate.

In general, however, governments have a positive approach to regulation, specifying which exchanges should operate in certain jurisdictions, how transactions are taxed, and so on. work with traditional banking and payment channels, as well as advertising channels. This allows us to expand beyond diehard crypto circles and target more mass market users.

With many crypto exchanges sponsoring various sporting events, what’s the next step for Huobi in terms of encouraging users to join your ecosystem?

One initiative is that we offer high referral fees to users and influencers who invite their friends to join our exchange, in addition to other benefits such as access to coveted token lists.

Sponsoring sporting events sounds like a good idea, but it depends on the market and how easy it is for users to transfer their money from fiat currencies to cryptocurrencies. If it is not easy, ie. banks can not work with exchanges, it does not make sense to sponsor sporting events and target consumers in the mass market, because most of them will not be able to buy crypto so easily.

About Jeff May

jeff mei huobi

Jeff Mei is leading the global expansion of the world’s leading cryptocurrency exchange Huobi. Originally from Los Angeles, Jeff began his career working on strategy and operations for a global investment bank. He then set up his own consulting firm in Beijing, working on various technology and blockchain projects before joining Huobi in 2020.

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