Sun refutes the global nature of Binance's restrictions against HTX: what this means for users
HTX founder Justin Sun publicly stated that the restrictions imposed by the Binance exchange on his platform apply exclusively to users from the United Kingdom and the European Union. However, the official Binance notice I analyzed contains no geographical clarifications, which raises a number of questions about the actual scope of these measures.
This statement came at a critical moment—just a few hours before the deadline set for August 23. Sun also confirmed that HTX is already in active negotiations with UK and EU regulators to reach a global agreement that could resolve the current conflict.
Justin Sun's Comment
On Friday evening, Sun promptly responded to Binance's actions, emphasizing that he had personally discussed the situation with the exchange's management. According to him, the restrictions affect only Binance clients from the UK and EU, and he stressed that "Huobi itself does not operate in the UK or the European Union." He added that negotiations with British and European regulators are already in full swing.
Sun also assured that affected users can contact HTX support, and the exchange will help resolve issues on an individual basis. However, given the scale of what is happening, this sounds more like a temporary measure than a full-fledged solution.
Binance Restrictions and HTX's Position
My analysis of Binance's official notice shows that the exchange did not single out any specific country, addressing the warning to all users. The document clearly states that operations with restricted platforms may be suspended for compliance checks after the effective date. In total, Binance restricted 11 platforms, and HTX is one of them.
Sun's second statement raises serious doubts for me. The UK Financial Conduct Authority (FCA) claims that in 2023, the HTX website was visited 4.6 million times from the UK—ranking sixth among crypto companies in British traffic. Notably, HTX only closed registration for new British users after a regulator lawsuit, which calls into question the claim of having no operations in the region at all.
The statement about negotiations with British authorities is confirmed: a moratorium is in effect in the High Court until August 25, and HTX is currently in talks with the FCA regarding illegal advertising. However, Sun did not specify which EU body the negotiations are being held with, adding to the uncertainty.
The timeline is extremely tight: Binance will cut off HTX on August 23—just two days before the moratorium ends in London. This creates unprecedented pressure on both sides.
My expert conclusion: The situation is developing according to a scenario we have already seen with other exchanges facing regulatory pressure. Sun is trying to minimize reputational damage, but the discrepancy between his statements and the official documents from Binance and the FCA suggests that the real scale of the problem may be significantly broader than publicly acknowledged. Investors should closely monitor developments over the next 48 hours.