The founder of Huobi Group exchange Leon Li is said to be talking with many investors about selling his majority stake (60%) in the Company for nearly $3 billion. Some of the people in the discussion are said to be Justin Sun and Sam Bankman-Fried.
JUST IN: Huobi Founder Leon Li is reportedly in talks to sell his majority stake in the exchange for $3 billion.
— Watcher.Guru (@WatcherGuru) August 12, 2022
According to insiders, Li informed the Company’s major financial backers, including ZhenFund and Sequoia China, of his decision. The deal (expected to be worth between $2 billion and $3 billion) could be signed as early as August. A spokesman confirmed Li’s intentions, saying:
“Li hopes the new shareholders will be stronger and more resourceful, and they will value the Huobi brand and invest more capital and energy in promoting Huobi’s growth.”
Prominent names in the field, such as Justin Sun and Sam Bankman-Fried, are rumored to be potential buyers. However, Sun said he had not discussed the deal with Li, while a spokesperson for FTX declined to comment.
Huobi Group is one of the leading cryptocurrency exchanges worldwide. However, it has faced some seemingly serious problems over the past few years, including a crypto crackdown in China, which has affected the Company’s revenue.
Like many other exchanges, Huobi had to lay off some employees due to the crypto winter’s impact and investors’ departure.
