HTX rotated wallets across four blockchains after May UK sanctions, TRM says

HTX repeatedly changed hot wallets and funding addresses across TRON, Ethereum, BNB Smart Chain and Solana after the UK sanctioned Huobi Global S.A. on May 26, according to TRM Labs. The blockchain intelligence firm said the exchange rebuilt its on-chain infrastructure while remaining live under the same brand, with wallets sometimes retired within hours, creating a moving target for sanctions screening systems that rely on static address lists. TRM said the pattern reflects how well-resourced sanctioned entities tend to adapt rather than disappear, and argued that effective monitoring requires tracking wallet behavior as new addresses come online. The firm compared HTX’s response with Russian exchange Garantex, whose operators later shifted activity to Grinex and the ruble-pegged stablecoin A7A5, while noting HTX kept its existing brand and changed infrastructure at the wallet level. British authorities said the sanctions package targeted crypto exchanges and the A7 network, which they said was used by Russia to evade restrictions and channel funds supporting its war in Ukraine, and the UK government described HTX as a major global cryptocurrency exchange suspected of having channeled more than $1.5 billion to the Kremlin. TRM also noted that the U.S. Treasury’s OFAC and the EU have not designated HTX, meaning freeze obligations apply only to UK-regulated firms, though it urged others to treat the exchange as an elevated sanctions-evasion risk. HTX rejected TRM’s characterization, saying the activity reflected routine, security-driven platform operations. The exchange has also argued that Huobi Global S.A. is distinct from the online HTX exchange, while OFSI has said HTX is subject to UK financial sanctions because of its ownership by Huobi. Separately, the FCA launched enforcement action against HTX earlier this year over illegal promotions to British customers, prompting the exchange to restrict new UK sign-ups. HTX is owned and advised by Justin Sun, and the exchange reported more than $3 trillion in trading volume in 2025.