Cryptocurrency exchange Huobi has announced that it will end the Huobi Cloud Wallet platform in May 2023, citing “strategic and product adjustments.”
As announced on the Huobi support page, the maintenance and upgrade of the multi-token wallet service will officially stop on February 13. Users who are still using cloud wallets are advised to transfer cryptocurrency and nonfungible tokens (NFT) to the main one. Huobi account or other wallet address.
The withdrawal and transfer functions of Huobi Cloud Wallet will work for the next three months, while users are warned not to send digital assets to the cloud wallet. The official decommission date of Huobi Cloud Wallet is May 13, 2023.
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Huobi Wallet changed to iToken in May 2022 after a $200 million investment from Huobi Group. Huobi Cloud Wallet was originally launched in October 2021 as a feature of Huobi Wallet, allowing users to manage digital assets without private keys.
The provision of custodial wallet services is aimed at driving easier access to decentralized finance (DeFi) applications and services. Huobi Cloud Wallet allows users to hold tokens without managing private keys, with a third-party management system storing users’ private keys in escrow.
Huobi Global users are said to enjoy seamless synchronization with cloud wallet services, with token transfers between platforms to access various DeFi projects.
Huobi also made headlines in January 2023, removing 33 different tokens that violated several prerequisites to maintain a listing on the exchange platform. The exchange confirmed plans earlier in the year to cut 20% of staff as part of a restructuring after Justin Sun took over the company.
Cointelegraph has reached out to Huobi to ascertain the main reason for the discontinuation of the Huobi Cloud Wallet.