HTX

Cryptocurrency exchange Kraken has temporarily suspended access to some customer accounts after a digital wallet identified by Arkham Intelligence as belonging to rival exchange HTX, which is under European Union sanctions, sent nearly 12,000 low-value transfers to wallet addresses linked to Kraken between August 17 and August 24, with each transfer ranging from a few cents to a few dollars. Kraken said these transactions appeared designed to spread sanctioned funds to other platforms and trigger account suspensions when those assets landed in customers' deposit addresses. HTX, which has TRON blockchain founder Justin Sun as an advisor, said its internal review found no official accounts responsible for such sub-transactions and is investigating whether the sender wallet was misidentified or a third party was responsible. Kraken said its compliance team has restored account access to customers while still holding sanctioned funds and is working with authorities to ensure these attacks do not achieve their goals. The strategy, also known as a 'dust attack,' turns sanctions screening into a form of attack. The UK sanctioned HTX in May, and the EU added HTX to its transaction ban list in July, which took effect on August 23, while these transactions were occurring.

Major cryptocurrency exchange Binance announced on the 14th that it will gradually halt transaction processing with multiple crypto businesses and platforms, citing changes in the regulatory landscape. The measures are being applied in three phases. As of the 7th, Shellbit and Avan Tether Exchange were already affected, and as of the 13th, A7 Nigeria, A7 Africa, and Pilot Finance were added. On the 23rd, 11 more businesses will be added, including Lapira, Ifoley Pro, ABCeX, Whitebird, NoOneCrypto, Tradex, Monies, Bitpapa, Exnode and Exnode Pay, cryptocurrency exchange HTX, and EXMO. Binance is asking users not to transact directly or indirectly with the affected businesses, and says that if transactions are confirmed after the relevant dates, they may be temporarily held for review and restrictions may be applied to related wallets. Some of the businesses targeted are linked to sanctions imposed by national authorities. HTX was added to an EU sanctions package related to Russia in late July, and the UK Foreign, Commonwealth and Development Office also added 18 businesses and individuals, including HTX, EXMO, Bitpapa, and Lapira, to its sanctions list on May 26.

Britain's Financial Conduct Authority and crypto exchange HTX are in talks to settle a case over illegal crypto adverts, with London's High Court giving them until late August to agree on terms. The case is about advertising, not about getting anyone's money back, and any settlement would not remove UK sanctions that have frozen at least one customer's account. HTX has been on the FCA's warning list since October 2023, and after the FCA sued in October 2025, the exchange stopped accepting new UK customers while existing users could still access their accounts. The FCA's court filing asks for a ruling that HTX broke section 21 of the Financial Services and Markets Act, an order to stop further promotions, and costs, but none of that returns money or guarantees access. UK visits to the exchange fell from 4.6 million in 2023 to 13,000 in 2024, a drop of more than 99%, yet the FCA sued because the adverts stayed reachable. Britain sanctioned Huobi Global S.A. on May 26 under reference RUS3619, and the Treasury confirmed those sanctions also apply to HTX, with the government notice listing 'HTX (formerly Huobi)' as another name for the same designated entity. Justin Sun took a controlling stake in the exchange in 2022, according to Reuters, but he was not sanctioned himself.