Facebook founder Mark Zuckerberg’s sister Randi Zuckerberg has joined the advisory committee of cryptocurrency exchange Huobi.
The CEO and founder of Zuckerberg Media had worked at Facebook for six years prior to her appointment to the Chain Expert Advisory committee of Huobi, which seeks to develop the company’s first public blockchain.
Started five years ago, Huobi is currently the fourth-largest crypto exchange worldwide, trading over $580 million on average per day.
The appointment of Randi Zuckerberg follows the launch of the Huobi Chain Project, which is tasked with building a next-gen financial platform that would be fully decentralized and self-regulating.
In a subsequent announcement by the firm, a company spokesperson said that the Huobi Chain Project seeks to create a reliable financial protocol to facilitate value exchange, securities funds, and improve crowdfunding as well as address the other financial needs of individuals and organizations.
Zuckerberg will work alongside fellow industry experts—the likes of Jihan Wu, the CEO of China-based crypto mining company Bitmain, Silicon Valley investor and serial entrepreneur Steve Hoffman, and Jeffrey Wernick, one of the most prominent Airbnb investors.
The advisory committee will lead the Huobi Chain Project and provide expert guidance in matters pertaining to the improvement of blockchain technology, its industrial and commercial applications, and how to overcome developmental obstacles and put up proper blockchain governance policies.
Facebook’s Quiet Progress in the Blockchain Space
David Marcus, head of Facebook’s Messenger app, revealed Facebook’s slow but steady progress into the blockchain space in May. In a post on his page, he divulged that the social media titan was working on finding ways to integrate blockchain technology with Facebook and that it was looking to build the system from scratch.
Soon after this post, it was reported that Facebook was looking into creating their first virtual coin, which would be used exclusively within the app.
This may just be mere speculation, though. According to Cheddar, the first news media outlet to report the story, the information was anonymously submitted by a source with purported familiarity with Facebook’s future plans.
Facebook’s quiet venture into the blockchain space has been increasingly evident in the recent past. The biggest giveaway came earlier this year when Marcus resigned his position on the board of Coinbase, citing a conflict of interest with his work at Facebook.
At the start of the year, Facebook had ordered a ban on crypto advertising owing to a large number of illegitimate firms that had popped up as crypto trading gained popularity.
The company then reversed this ban earlier this summer and instead put up a new policy which would require advertisers to submit applications for vetting to ascertain their legitimacy before they could post any crypto ads.
The applications would have to include licenses and bills of certification in addition to some background information about the company.
No Clear Objective Yet
The Huobi Chain Project remains a closely guarded secret judging by the company’s reluctance to divulge any details about the nature of the project.
Going by the company’s announcements and the information that can be gleaned off of their website, what is known at the moment is that the company is working on a public blockchain.
New EU Regulations to Impact on Huobi’s Proposed Public Blockchain
Initial Coin Offerings (ICOs) have been, in the past, a source of constant anguish for investors and crypto regulators alike.
Millions of dollars have been lost in ICO exit scams with the biggest recent heist coming from Vietnamese crypto firm Modern Tech, which swindled over 32,000 investors and made away with $660 million in the infamous Pincoin ICO scandal.
The European Union is looking to establish a set of new regulations to govern crowdfunding. Though this will affect ICOs only partially, it is possible that even Huobi would have to abide by these regulations should they decide to create a virtual currency as well.
Under these new regulations, ICOs will be required to compile and submit a Key Investor Information Document before launching.
The KIID will contain pertinent information such as investment details, roadmaps, contingency plans, risk management protocols and any other due diligence that would help investors know exactly where their money will be spent.