HTX Experiences Compliance Review Freeze Following UK and EU Sanctions

Major cryptocurrency exchanges including Binance have taken action against HTX (Huobi Global SA) in response to recent UK and EU sanctions. On August 18, several users reported receiving small unsolicited transfers of USDT from wallets associated with HTX exchange addresses. These micro-deposits triggered immediate compliance reviews and account freezes on multiple platforms.

The UK's Foreign, Commonwealth and Development Office designated Huobi Global S.A. under the Russia (Sanctions) (EU Exit) Regulations 2019 on May 26. The designation included an asset freeze and restrictions on correspondent banking and payment processing due to reasonable grounds to suspect the company had provided financial services or made funds available to entities linked to sectors of strategic significance to the Russian government.

The European Union followed suit with Council Regulation (EU) 2026/1848, which added HTX to Annex XLV, Part A on July 23. This listing subjects the entity to a prohibition on direct and indirect transactions by operators falling within the scope of EU restrictive measures, effective August 23.

Binance announced it would cease processing transactions involving HTX along with ten other platforms on August 14, citing its obligation to adhere to regulatory requirements in the jurisdictions where it operates. Justin Sun, a major stakeholder and adviser associated with HTX, stated that settlement negotiations with UK and EU regulators are already in progress.