The UK Financial Conduct Authority has initiated formal legal proceedings in the High Court against HTX, formerly known as Huobi, and associated “persons unknown” over alleged repeated breaches of cryptocurrency marketing rules.
The action marks the first time the regulator has pursued court enforcement specifically targeting a crypto firm for unlawful promotion to UK consumers.
The case represents an escalation from warning notices to direct legal intervention.
Regulatory Escalation Extends Beyond Court Filings
Financial Conduct Authority has moved to restrict HTX’s visibility and accessibility within the United Kingdom. The regulator formally requested that Google and Apple remove HTX applications from their UK app storefronts.
In addition, the FCA called on major social media platforms, including TikTok, X, Meta, and YouTube, to block HTX accounts for UK-based users.
HTX remains listed on the FCA’s Warning List of unauthorized firms, meaning UK customers do not have access to the Financial Ombudsman Service or compensation protections.
Alleged Violations Under Financial Promotions Regime
Since the Financial Promotions Regime took effect in 2023, the FCA alleges that HTX has failed to comply with rules requiring marketing communications to be “fair, clear, and not misleading.”
Among the cited examples were website tutorials suggesting users could “buy Bitcoin in a minute” or “learn spot trading in seconds,” as well as promotions for high-risk crypto lending products accompanied by flame emojis. The regulator argues that such messaging downplays risk and does not meet required disclosure standards.
The FCA also highlighted HTX’s opaque organizational structure and stated that the firm repeatedly failed to engage constructively with regulatory outreach efforts.
Although HTX reportedly restricted new UK registrations, the regulator found that existing UK customers could still access the platform and view promotional materials considered unlawful.
Justin Sun’s Association
While Justin Sun serves as a global advisor to HTX, he is not named as a defendant in the FCA’s legal action. The case nevertheless draws renewed attention to his ongoing industry visibility, including his recently reported $75 million investment in the Trump family’s World Liberty Financial crypto venture.
The enforcement action focuses on marketing conduct rather than advisory roles or external investments.
Broader 2026 Regulatory Environment
The High Court proceedings occur amid a wider 2026 regulatory tightening in the United Kingdom as authorities prepare for the implementation of a Comprehensive Regulatory Regime scheduled for October 2027.
The FCA’s decision to escalate enforcement through litigation signals a shift toward more direct accountability for unauthorized crypto promotions. Rather than relying solely on warnings and compliance requests, the regulator appears prepared to pursue formal legal remedies to enforce marketing standards within the digital asset sector.
The outcome of the case could set a precedent for how aggressively UK authorities police offshore crypto firms marketing to domestic consumers under the current promotional framework.
