Sun refutes the scale of the block: Binance restricted HTX only for the EU and the UK?
HTX founder Justin Sun has issued an official statement aimed at easing panic among exchange users. According to him, the recently imposed restrictions by Binance apply exclusively to clients from the United Kingdom and the European Union and are not global in scope. This statement came just hours after Binance announced it had blacklisted HTX, sparking a wave of questions about the fate of investors' funds.
Sun emphasized that HTX does not conduct operational activities in the UK or the EU, and therefore the restrictions should not affect the majority of users. Moreover, he stated that the exchange is already in active negotiations with regulators from both regions to resolve the situation. In his address, he assured that all affected clients can contact HTX support, where their issues will be resolved on an individual basis.
Discrepancies with Binance's official position
However, my analysis shows that Sun's statements contradict Binance's official notice. In its document, the largest crypto exchange does not single out specific countries or jurisdictions—the warning is addressed to all users without exception. Binance clearly warned that transactions with restricted platforms may be suspended for compliance checks, and it included 11 platforms on this list, among them HTX.
Particular attention is drawn to Sun's claim that HTX does not operate in Britain. Data from the Financial Conduct Authority (FCA) for 2023 suggests otherwise: the HTX website was visited 4.6 million times from the UK, placing the exchange sixth in British traffic among crypto companies. Notably, HTX only closed registration for new British users after a lawsuit from the regulator.
As for negotiations with authorities—this information is confirmed. A moratorium is in effect at the High Court of London until August 25, and HTX is indeed in talks with the FCA over unresolved claims. However, Sun did not specify which EU body consultations are being held with, leaving questions about the transparency of the process.
The timing of events is highly telling: Binance will cut off HTX on August 23—just two days before the moratorium in London expires. This creates additional pressure on Sun's exchange at a critical moment in the negotiations.
My comment: The situation looks like a classic example of a discrepancy between public rhetoric and real regulatory risks. While Sun tries to localize the problem, Binance's actions point to a systematic approach to combating non-compliant platforms. HTX users, especially those in the EU and the UK, should exercise caution and closely monitor developments in the coming days—Binance's decision could set a precedent for other major exchanges.