FCA Locks Horns with Crypto Exchange HTX Over UK Promotion Allegations

Britain's Financial Conduct Authority (FCA) is in settlement talks with cryptocurrency exchange HTX, formerly known as Huobi, over allegations that it has been illegally promoting crypto services to UK consumers.

The FCA sued HTX in October last year, accusing the company of breaching UK financial promotion rules for cryptoassets since 2023. The regulator alleged that HTX had an 'opaque operational structure' and ignored repeated attempts to engage.

However, after the lawsuit was filed, both parties began settlement talks in March, which were extended by two months on June 25. The FCA has not commented on the status of the talks.

HTX's website claims that its products are 'not intended for UK users', but the company has been added to the FCA's list of unauthorized companies since 2023 and 2024. The regulator has also urged social media companies to remove HTX products from UK app stores and block its accounts for UK-based users.

The case highlights the challenges of policing global crypto companies, which can have complex corporate structures and operate through online platforms that cross international borders.