The United Kingdom has placed cryptocurrency exchange HTX on its official sanctions list, citing suspicions that the company supports Russia’s government through financial services. HTX, which operates from Panama and was previously known as Huobi Global, is accused of enabling transactions connected to Russian interests via entities such as A7 Limited Liability Company and Garantex, both already under sanctions.
This move forms part of a broader UK initiative targeting networks and businesses allegedly used by Russia to bypass existing sanctions. UK authorities have emphasized that attempts to exploit crypto platforms as covert channels for sanction evasion will face stringent responses. A government spokesperson indicated that HTX’s activities provided grounds for suspicion and led to its designation. In response, HTX asserted its commitment to regulatory compliance, emphasizing ongoing monitoring and adherence to laws in every jurisdiction where it operates, including the UK.
Russia continues to be subject to wide-ranging sanctions imposed by the UK, European Union, and other global actors due to its military operations in Ukraine, which began in 2022. Authorities in the EU recently introduced new sanctions targeting crypto assets such as stablecoins linked to sanctioned entities, including those connected to Belarus, aiming to restrict Russia’s financial avenues within digital markets.
HTX has faced prior regulatory challenges in the UK. The Financial Conduct Authority (FCA) initiated legal action against the exchange for promoting cryptocurrencies illegally through social media platforms like TikTok, X, Facebook, Instagram, and YouTube. The FCA accused HTX of violating marketing regulations designed to protect consumers from misleading crypto advertisements.
Meanwhile, Russia is advancing legislation that could criminalize certain crypto activities. Proposed measures include mandatory registration of digital asset service providers with the central bank and penalties for operating without proper licenses. These laws also aim to limit retail investor access to cryptocurrencies and reinforce bans on using digital assets as payment methods within the country.