According to a recently released trading advisory, Binance has decided to strictly prohibit users from executing any transactions with Huobi (HTX), effective August 23, 2026. Therefore, transferring assets from Binance to Huobi, or conversely, from Huobi to Binance, will immediately trigger an automatic asset freeze. Subsequently, users will face an extensive compliance review. Consequently, users might need to submit comprehensive supporting documentation to successfully navigate this rigorous scrutiny.
Regulatory Sanctions Trigger the Blockade
Huobi previously enjoyed immense prestige as a leading cryptocurrency exchange. However, its operational stability has deteriorated significantly following its acquisition by Justin Sun. Most critically, the European Union and the United Kingdom have officially added the exchange to their respective sanctions lists due to severe compliance failures.
EU and UK Authorities Take Action
This transaction ban issued by Binance does not stem from routine industry competition. Rather, Binance must decisively sever all transactional ties with Huobi from a strict compliance perspective. On July 25, 2026, the European Union published a formal declaration adding eighteen distinct entities, explicitly including Huobi, to its sanctions registry. Authorities accuse these entities of actively assisting Russia in circumventing established international sanctions.
The EU unequivocally stated that any financial institution, credit agency, or cryptocurrency service provider offering financial support to Russia during the ongoing Russo-Ukrainian conflict faces immediate sanction. Furthermore, the United Kingdom had already preemptively added Huobi to its own sanctions list back in May. At that time, the UK government’s official announcement cited reasonable grounds to suspect that Huobi was providing illicit financial services and material funding support to Russia.
Consequences of Transacting with Sanctioned Entities
Asset Freezes and Stringent Reviews
Binance emphatically stressed in its announcement that, beginning on the effective date, users must not directly or indirectly send, receive, or otherwise transact with these newly sanctioned entities. If any such transaction occurs, the system will likely freeze the involved assets immediately, triggering a mandatory compliance review.
Account Suspensions and Legal Ramifications
During this comprehensive investigation period, the affected wallets might suffer significant operational restrictions. Simultaneously, engaging in these prohibited transactional behaviors blatantly violates Binance’s strict terms of use. Consequently, offending users risk severe penalties, potentially culminating in permanent account suspension.
Huobi previously attempted to argue that the sanctions merely targeted the specific “Huobi Global SA” corporate entity. They claimed that different operational entities managed the primary Huobi exchange, rendering it unaffected. However, this semantic obfuscation holds absolutely no legal weight. Regulatory authorities in the UK have explicitly emphasized that the HTX exchange itself remains intrinsically subordinate to Huobi Global SA. Therefore, the sweeping sanctions unequivocally apply to the exchange operations as well.
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