HTX to Exit UK After FCA Enforcement Settlement

HTX, owned by Justin Sun, has consented to depart the UK, marking the conclusion of the Financial Conduct Authority's inaugural enforcement action concerning crypto promotions. The FCA revealed the settlement today, bringing to a close a High Court lawsuit that was initiated in October 2025, as reported by the Financial Times.

Through court undertakings, Huobi Global S.A. — the Panama-incorporated entity operating the HTX brand — has pledged to refrain from disseminating financial promotions that violate UK regulations on its website, applications, and social media platforms.

The FCA states that HTX is no longer operational in the UK. British customers are unable to make deposits, and new account registration is blocked. Current clients have a 48-hour window to remove their funds prior to account termination.

The regulator presented the result as a cautionary message. Steve Smart, the FCA’s executive director for enforcement and market oversight, stated that operating from abroad does not exempt a company from UK legal jurisdiction. Smart said that ‘Crypto firms should be under no illusion: being based overseas does not put them beyond the reach of UK law. Our action means HTX is leaving the UK and can no longer target UK consumers. The message to other firms is clear: follow the rules or face the consequences.’

According to the regulator, HTX did not meaningfully participate in multiple discussions regarding the case. Negotiations for a settlement commenced in March and were prolonged in June.

Background on the HTX Settlement

HTX offers a differing perspective. The exchange asserts that it has implemented measures to comply with UK promotional regulations. “We take local compliance requirements seriously and have proactively implemented measures to align with the UK’s financial promotion regulations,” the company said in a statement, according to Reuters.

The specifics of the settlement are confidential, and the FCA confirms that the agreement does not include any acknowledgment of liability or misconduct. Public accounts do not indicate whether a financial penalty was imposed.

In May, the United Kingdom imposed sanctions on Huobi Global for reportedly backing Russia's financial system, identifying HTX as an alias for the sanctioned organization. In July, the European Union included Huobi Global in its 21st sanctions package against Russia and prohibited EU-based transactions with the exchange, without imposing a complete asset freeze. HTX maintains that Huobi Global S.A. is separate from the digital asset platform.

In August, Kraken users temporarily lost access to their accounts after receiving minuscule crypto amounts tied to sanctioned assets, an event referred to as a dust attack. According to Kraken, these attacks were designed to activate compliance reviews and distribute sanctioned funds across different exchanges, leading to service interruptions for many customers. Approximately 12,000 transactions were allegedly dispatched from a wallet associated with HTX. Kraken's compliance unit promptly reinstated user access while holding onto the sanctioned funds and collaborating with authorities to avert additional incidents.