HTX, under Justin Sun, has agreed to withdraw from the UK, which also brings to an end the Financial Conduct Authority of the UK’s (FCA) first enforcement case regarding financial promotion rules for crypto companies. The regulatory authority announced this settlement today, concluding a High Court lawsuit that, according to The Financial Times, began in October 2025.
According to the court's commitment, Huobi Global S.A. – the Panamanian registered company behind the HTX brand – has promised not to publish financial promotion content that violates British law through its website, applications, and social media channels.
FCA indicates that the exchange is no longer conducting business in the UK. British customers are unable to deposit funds, and new users cannot register either. Existing customers have 48 hours to withdraw their assets; after that, their accounts will be closed.
Regulatory authorities have characterized this outcome as a warning. FCA Executive Director of Enforcement and Market Regulation, Steve Smart, stated that being based overseas does not mean that a company can be exempt from British law.
Smart said, "Cryptocurrency companies should not mistakenly think that just because they are based overseas, they can escape the constraints of British law. Our actions mean that HTX is leaving the UK and can no longer target British consumers. The message to other companies is clear: comply with the rules, or face the consequences."
Regulatory authorities stated that during the multiple rounds of negotiations in this case, HTX did not actively participate. The settlement negotiations began in March and were extended in June.
HTX Reconciliation and Background
HTX has different opinions on this matter. The exchange stated that it has taken measures to comply with the UK's promotion rules.
"We take local compliance requirements seriously and have proactively implemented measures to meet the financial promotion regulatory requirements of the UK," the company stated in a statement, as quoted by Reuters.
The terms of the settlement remain confidential. FCA indicates that this agreement does not constitute an admission of any liability or improper conduct. Public reports do not specify whether a fine was paid.
In May this year, the UK sanctioned Huobi Global for allegedly supporting Russia's financial sector, and listed HTX as another name for this sanctioned entity.
In July, during the 21st round of sanctions against Russia, the European Union named Huobi Global and prohibited transactions between the EU and that exchange, but did not take measures to fully freeze assets. HTX stated that Huobi Global S.A. is a different entity from this online exchange.
Going back to August, a Kraken customer was temporarily unable to log into their account after receiving a small amount of cryptocurrency related to sanctioned funds. Such situations are referred to as “dust attack”. Kraken indicates that these attacks were intended to trigger compliance checks and disperse the sanctioned funds across various platforms, causing operational disruptions for thousands of users.
It is reported that approximately 12,000 transfers originated from a wallet associated with HTX. The compliance team of Kraken quickly restored customer access, while retaining the sanctioned funds and cooperating with authorities to prevent further attacks.
