UK Sanctions HTX, Accuses Exchange of Supporting Russia

The United Kingdom on Tuesday announced sanctions on HTX, formerly Huobi Global S.A., alleging the crypto exchange provided financial services and made funds or other economic resources available to A7 Limited Liability Company, which the government describes as operating in a sector of strategic significance to the Russian state.

The designation was published under Regulation 17A. The UK government said the Secretary of State has reasonable grounds to suspect HTX of obtaining a benefit from or supporting the Russian government by providing financial services or making available funds, economic resources, goods or technology to A7 Limited Liability Company. Garantex Europe OU was also named in the package of measures.

The sanctions form part of a wider set of actions targeting crypto exchanges, banks and other firms the government links to sanctions evasion. Regulation 17A was applied against crypto exchanges for the first time in this round, a monitoring firm reported, and other entities in the cryptocurrency sector were identified in related reporting.

HTX has faced earlier regulatory scrutiny in the UK. In February, the Financial Conduct Authority opened legal proceedings alleging the exchange published unlawful financial promotions on its website and across social media channels, including TikTok, X, Facebook, Instagram and YouTube. The FCA action alleges the firm marketed regulated products without required permissions.

Justin Sun, a well-known figure in the crypto industry, is listed as a member of HTX’s global advisory board. An HTX spokesperson responded to the UK announcement in a brief statement, writing that “regulatory compliance remains our absolute top priority,” and adding that the company “proactively monitor[s] and strictly adhere[s] to regulatory frameworks in all jurisdictions where we operate globally, including the UK.” The statement did not address the specific allegations involving A7 Limited Liability Company.

The UK government said the sanctions are intended to limit designated entities’ access to financial services and international markets. The new designation and the ongoing FCA proceedings add to legal and regulatory challenges facing HTX as authorities apply sanctions and enforcement tools to cryptocurrency platforms.