Justin Sun, founder of Tron, could be the real buyer behind the deal for the acquisition of Huobi Global, according to sources with the matter.
The information was first disclosed by a Chinese online media outlet of @wublockchain12 on Monday, Oct 10, citing multiple sources with the matter and claiming that Sun is the real investor by offering $1 billion behind the deal.
Yet, no parties confirmed or denied the fund for mergers and acquisitions at the time of writing.
Justin Sun tweeted on Monday, confirming that he has joined and been appointed as one of the advisors of Huobi Global.:
“I am very honoured to be appointed as a member of the Global Advisory Board of @HuobiGlobal and work with industry, academic, and policy leaders to help guide and grow this innovative, vibrant, and resilient organization in its latest chapter of global expansion.”
Meanwhile, Sun also added a link to Huobi on his cover page on Twitter of his English-version account.
Among advisors, Ted Chen, CEO of About Capital; Du Jun, co-founder of Huobi Global; Wang Yang, Vice President of the Hong Kong University of Science and Technology, and Leah Wald, CEO of Valkyrie Investments, also joined the advisory board, per the previous announcement of Huobi Global.
The rumour came after Huobi Global’s transaction announced last Friday that the crypto exchange “has completed the transaction to sell its entire shareholding in Huobi Global to the buyout vehicle managed by a Hong Kong-based About Capital Management (HK) Co., Limited (“About Capital”).” Per the statement, the buyout vehicle of About Capital will control the majority stake in Huobi Global upon completion of the transaction.
With the latest development, About Capital’s move was described as merely “a bridge” for Justin Sun’s acquisition.
Analysis indicated that such a low-profile action is mainly due to security concerns. Leon Li Lin, the founder of Huobi Global, was concerning the interaction between Justin Sun and the Communist-led Chinese government; Meanwhile, Sun seems also worried about the acquisition might undermine his partnership with Binance, as Binance’s major competition FTX was reportedly to assist Sun’s ambitious acquisition, despite FTX has previously denied any interest in Huobi.
Huobi was trading up to $4.4739 at 2:20 pm HKT, up over 6% during the intraday, according to CoinMarkCap.
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