Justin Sun’s HTX agrees to leave the UK after being sued by the financial watchdog

Crypto exchange HTX agreed to exit the UK after being sued by the country’s financial watchdog¹. The exit follows a settlement of the lawsuit with the FCA^2,3. HTX is ending services for British customers, a step tied to cryptocurrency advertising rules⁵. The exit was described as the outcome of a crypto lawsuit brought by the FCA³.

The exchange is associated with Justin Sun, whose HTX is leaving the UK after the settlement³. HTX and KuCoin both announced withdrawals from international markets on Thursday⁴. KuCoin is pulling out of Russia and Belarus, citing regulatory compliance^4,5.

The two moves were announced on the same day^4,5. HTX’s departure is from a market where it was sued by the regulator¹, while KuCoin is leaving markets it served in Russia and Belarus⁴.

Why it matters to investors

Sun is also in a separate dispute with World Liberty Financial, the Trump family’s crypto venture^1,3. In April, Sun sued the venture, alleging that it carried out a ‘fraudulent scheme’¹. The exchange became involved in that dispute after stablecoin addresses were frozen³.

Sun acquired World Liberty tokens shortly before a US suit against him and three of his companies for ‘wash trading’ was paused². The UK settlement adds a regulatory exit to that list of legal disputes^1,2. For HTX, the settlement resolves the UK case by way of an agreed exit^1,2.

The withdrawals show large exchanges leaving markets where regulators or compliance pressure bite hardest: the UK in HTX’s case, and Russia and Belarus in KuCoin’s^4,5. For British customers, the effect is the end of HTX services⁵.

What to watch

The first marker is the date on which HTX completes its exit and how British customers are handled^3,5. The terms of the settlement with the FCA are a second marker².

A third is Sun’s dispute with World Liberty Financial, which he sued in April over what he called a ‘fraudulent scheme’¹, and which drew in HTX after stablecoin addresses were frozen³.

A fourth is whether other exchanges follow KuCoin’s exit from Russia and Belarus, which it attributed to regulatory compliance^4,5. Both withdrawals were announced on the same day⁴. Sun’s legal exposure spans the UK settlement, the paused US ‘wash trading’ suit and his own lawsuit against World Liberty Financial^1,2.