Chinese Digital Currency Exchanges Huobi And OKCoin To List Ether
The Huobi digital currency exchange has announced that Ether will be available for trading on its platform starting May 31, 2017, at 12:00 (GMT+8). The first of China’s “Big 3” digital currency exchanges to offer Ether, Huobi’s announcement on May 27 could potentially have already contributed to the recent spike in the price of Ether, which saw a same day recovery of 40 percent. Per Huobi’s official twitter account, “There are many aspects of Ethereum that could outperform bitcoin, such as scalability, cost, [and] speed.”
OKCoin, Huobi’s main rival, will begin offering Ether at 22:00 (GMT+8) on May 31 as well; while Ether trading will officially commence on June 1. Last year’s decision by China’s Big 3 (BTCC being the third) to forgo listing Ether prompted many Chinese investors to use workaround trading strategies, such as buying bitcoin and using ShapeShift or other exchanges to convert it into Ether. If true, this type of buying might have created an artificial relationship between bitcoin and Ether which could potentially dissolve now that Chinese consumers can purchase Ether directly.
Huobi will implement Ether into its exchange offerings via the CNY/ETH trading pair. As a means to incentivize new users to buy Ether, traders of litecoin or bitcoin on Huobi will be reimbursed with 5mETH (0.0005 ETH). There will also be a 0.01 percent introductory commission fee in the days immediately following the sale, changing to a 0.05 percent commission fee on June 3. In the official Chinese announcement, Huobi cited the increased popularity of Ether and consistent calls by users to launch its trading as principal reasons for implementing the digital currency now.
Incentives offered by Houbi:
– From now [May 27] to May 31st, if you trade BTC or LTC, you can get 5mETH for free.
– From May 31st 12:00 to June 3rd 12:00, ETH trading commission fee is 0.01%.
– From June 3rd 12:00 to June 8th 12:00, ETH trading commission fee is 0.05%.
The ability for Chinese investors to begin trading in Ether is likely to cause its price to rise, as one of the world’s strongest crypto markets can now bolster the already impressive Ethereum market cap.