Sun refutes the global nature of Binance restrictions for HTX: what this means for users
HTX founder Justin Sun rushed to clarify the situation regarding the block by Binance, claiming that the restrictions apply exclusively to users from the United Kingdom and the European Union. However, the official notice from the largest crypto exchange contains no geographical specifics, raising questions about the true scale of the sanctions.
Sun's statement came on Friday evening — just a few hours after Binance announced adding HTX to its blacklist. According to the founder, he has already held negotiations with Binance representatives, and the matter concerns only clients from the UK and the EU. He emphasized that HTX itself does not operate in these jurisdictions, and negotiations with British and European regulators are already in an active phase.
Sun also assured that affected users can contact HTX support, and the exchange will help resolve issues on an individual basis.
Discrepancy in official positions
However, an analysis of Binance's official notice paints a different picture. The exchange did not single out any specific country, addressing the warning to all users. The document states that transactions with restricted platforms may be suspended for compliance checks after the effective date. A total of 11 platforms were added to the blacklist, and HTX is just one of them.
Moreover, Sun's claim about not operating in the UK raises doubts. The Financial Conduct Authority (FCA) reports that in 2023, the HTX website was visited 4.6 million times from the UK — the sixth-highest figure among all crypto companies in terms of British traffic. HTX only closed registration for new British users after a lawsuit from the regulator.
Notably, the information about negotiations with British authorities is confirmed. A moratorium is in effect at the High Court until August 25, and HTX is indeed in talks with the FCA regarding illegal advertising. However, Sun did not specify which EU body the negotiations are being held with. The timeline is extremely tight: Binance will cut off HTX on August 23 — two days before the moratorium in London expires.
My analysis: The situation demonstrates a classic conflict between public statements and legal reality. Even if Binance's restrictions formally apply only to the EU and the UK, the reputational risks for HTX are global in nature. Amid tightening regulation worldwide, such incidents undermine trust in the exchange, regardless of geography. I recommend HTX users to closely monitor Binance's official notices and not rely solely on statements from management.