Sun refutes the global nature of Binance's restrictions on HTX: an analysis of statements and real risks
Justin Sun, founder of HTX (formerly Huobi), has issued official clarifications regarding Binance's recent decision to blacklist the exchange. According to him, the restrictions apply exclusively to users from the United Kingdom and the European Union, not the entire global client base. However, the wording in Binance's official notice contains no such geographical specifications, raising legitimate questions about the scope of the block.
The statement came on Friday evening—just a few hours after Binance published its warning. Sun emphasized that he personally discussed the situation with representatives of the exchange and that HTX does not conduct operational activities in the UK or EU. He also confirmed that negotiations with British and European regulators are already in an active phase.
Key contradictions in the parties' positions
An analysis of the situation reveals several significant inconsistencies. First, Binance's notice, addressed to all users without exception, clearly states that transactions with restricted platforms may be suspended for compliance checks after the decision takes effect. The list includes 11 trading venues, with HTX among them.
Second, Sun's claim that HTX does not operate in the UK appears questionable. According to data from the Financial Conduct Authority (FCA), in 2023 the HTX website was visited 4.6 million times from the UK, placing the exchange sixth in traffic among crypto companies in the country. Notably, registration of new British users was only closed after a lawsuit from the regulator.
Sun's third statement about negotiations with authorities is only partially confirmed. A moratorium is in effect at the High Court of London until August 25, and HTX is indeed in talks with the FCA regarding illegal advertising. However, Sun did not specify which EU body consultations are being held with, leaving room for interpretation.
The timing of events is highly telling: Binance will cut off HTX on August 23—exactly two days before the moratorium in London expires. This creates unprecedented pressure on the exchange at a critical moment in negotiations with regulators.
My expert assessment: Sun's public stance is aimed at minimizing reputational damage, but the discrepancies between his statements and actual FCA data are obvious. In the coming days, we will likely see either official rebuttals from Binance or clarifications from the regulators themselves. HTX users in the UK and EU should prepare for possible transaction delays, despite promises of individual support.