Huobi Has Delisted Their Own Token HUSD As It Depegged To $0.3205, Depegging For the Second Time This Year As Justin Sun Takes Over

First of all this story gets really wild and confusing. Just bear with me as I try my best to explain the chaos.

There were reports that Justin Sun was buying a 100% stake in Huobi from its founder. There were further reports that SBF may have had a hand in the deal. Sun has admitted that he owns 'tens of millions of Huobi tokens HUSD'. Now on Aug 18th, HUSD depegged and traded as low as $0.87. Now it was only following after this incident that news broke that Huobi had already exited their HUSD deal with Stable Universal 4 months ago.

Let me explain. HUSD is Huobi's token but legally, the token was actually issued by Stable Universal though heavily backed and launched by Huobi. Stable Universal described Huobi as "a strategic partner" in the HUSD token. Huobi had exited this deal removing all "legal" ties between Huobi and HUSD. The token is Huobi's in name only. However, the fact that Huobi no longer had any dealings with their own token was only revealed four months after when it depegged.

The token again lost value or "depegged" to $0.96, depending on your understanding of depeg, on 11th October earlier this month.

As Sun took over, top executives left the company. There were reportedly the CEO and CFO. The report also claims Sun has taken over key departments and looking to cut staff as he believes the company has "too many employees". Previous reports have stated a downsizing of up to 30%. Sun describes himself as an "advisor" the Huobi.

HUSD then heavily depegged and fell to a low of $0.28 this morning before "recovering" to $0.32 as of time of writing. This as Sun plans to replace HUSD with USDD. USDD is of course Justin Sun's own stablecoin on his blockchain DAO Tron.

Just...what a mess.