Blockchain security firm Elliptic reported that Fuione, an online marketplace platform used for illegal activities, has launched USDH, a dollar-pegged stablecoin.
According to Elliptic, Huione is promoting USDH as a solution for users looking to circumvent the limitations imposed by traditional stablecoins such as USDT and USD Coin (USDC). This asset was launched in September 2024.
Huione is the largest illegal online marketplace, with over $24 billion in transaction value. In 2024 alone, the transaction amount was close to $10 billion.
USDH
Unlike Tether’s USDT and Circle’s USDC, USDH is not subject to issuer-enforced freezes or transfer restrictions. The lack of regulatory oversight makes USDH particularly attractive to bad actors.
Notably, both Tether and Circle have previously taken action against wallets associated with illegal activity. For example, Tether has frozen wallets associated with funds stolen from North Korea’s Lazarus Group, and Circle has also disabled wallets holding USDC from various crypto hacks.
Huione continues to support USDT payments, but promotes USDH as a more secure alternative. Stablecoins are available on Ethereum, BSC, Tron, and Huione’s own Xone chain.
Huione has introduced crypto wallets and decentralized exchanges (DEXs) to expand its offering, and previously attempted an initial coin offering (ICO) for the HC token. These efforts are intended to increase the accessibility of USDH.
Initiatives for expansion
Beyond the US dollar, Huione is diversifying its offerings despite increased scrutiny. The company recently introduced ChatMe, a messaging app designed to mimic Telegram.
ChatMe allows users to create group chats and bots, which are important tools for Huione’s marketplace operations. Integrated with Huione Chain, the app supports payments and other blockchain-based features.
Additionally, Huione announced its first dedicated crypto exchange, Huione Crypto, in September 2024. The platform allows users to trade USDH alongside cryptocurrencies such as Bitcoin, ETH, TRX, Solana, and Dogecoin.
The Poland-based exchange targets European users and offers language support for the Chinese market.
Huione’s latest move signals the company’s intention to expand its influence in the crypto space, even as it faces continued scrutiny for controversial activities.
mentioned in this article
