Sun refutes the global nature of Binance's restrictions on HTX: analysis of the statement and real risks
HTX founder Justin Sun was quick to provide public clarifications regarding his exchange being added to Binance's "blacklist." In his statement made on Friday evening, just hours after the official notice from the competitor, Sun emphasized that the restrictions are narrowly targeted and affect exclusively users from the United Kingdom and the European Union.
According to him, he has already held talks with Binance representatives, who confirmed that the block is not global. Moreover, Sun claims that HTX is actively engaged in dialogue with British and European regulators to resolve the situation. He also assured that affected clients can contact HTX support, where their issues will be addressed on a case-by-case basis.
Binance's official position and inconsistencies in Sun's statement
However, my analysis shows that Sun's statement diverges from Binance's official notice. In its message, Binance does not single out specific countries or regions but addresses the warning to all users. The exchange clearly warned that transactions with restricted platforms may be suspended for compliance checks after the effective date of the decision. In the same notice, Binance restricted the activities of 11 platforms, indicating a systematic approach rather than targeted measures.
Special attention is drawn to Sun's second claim that HTX "does not operate" in the United Kingdom. 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 platform sixth in British traffic among crypto companies. In fact, HTX only closed registration for new British users after a lawsuit from the regulator.
Talks with regulators: what is known
The claim about negotiations with British authorities, however, finds confirmation. 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 the talks are being held with, leaving questions about the scope and status of these contacts.
The timeline is extremely tight: Binance will cut off HTX on August 23 — just two days before the moratorium in London expires. This creates additional pressure on both parties.
My comment: Sun's public rhetoric is a classic attempt at managing reputational damage, but the discrepancies with Binance's official documents and FCA data are obvious. Investors should treat the HTX founder's statements with caution and consider that regulatory pressure on the exchange in Western jurisdictions is a long-term trend, not a one-off misunderstanding. I recommend that HTX users in the EU and the UK prepare withdrawal plans in advance, without waiting for the situation to escalate.