Sun clarifies the situation regarding the HTX block on Binance: restrictions will only affect the EU and the UK.
HTX founder Justin Sun has issued an official clarification regarding recent restrictions imposed by Binance. According to him, the block will affect exclusively users from the United Kingdom and the European Union, not all clients of the exchange. This statement came just a few hours after Binance published a notice adding HTX to its blacklist, which sparked a wave of questions within the community.
Sun emphasized that HTX does not conduct operational activities in the UK and EU, and negotiations with regulators in these jurisdictions are already underway. "I have discussed this matter with Binance, and it concerns only Binance users in the UK and EU. Huobi itself does not operate in these regions. Our negotiations with British and European regulators are already in progress," he stated on social media. The businessman also promised that affected clients can contact HTX support, and their issues will be resolved on a case-by-case basis.
Binance's official position and inconsistencies
However, Binance's official notice makes no mention of geographical restrictions. The exchange warned all users that operations with certain platforms may be suspended for compliance checks after the effective date. In total, Binance has restricted interactions with 11 platforms, and HTX is just one of them.
Sun's second statement raises questions. The UK's Financial Conduct Authority (FCA) reports 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 lawsuit from the regulator. This contradicts the claim of a complete absence of market presence.
Nevertheless, the fact of negotiations with British authorities is confirmed. A moratorium is in effect at the High Court until August 25, and HTX is in talks with the FCA regarding unresolved advertising. Sun did not specify which EU body the negotiations are with, leaving room for speculation.
The timeline is extremely tight: Binance will cut off HTX on August 23—two days before the moratorium in London ends.
My analysis: The situation looks like a classic example of regulatory pressure disguised as technical measures. Even if Sun's words about geography are true, the very fact of HTX being added to Binance's blacklist is a signal to the market about the growing isolation of platforms operating in the gray zone. Investors should closely monitor the development of negotiations with the FCA—the outcome could set a precedent for other exchanges.