Cryptocurrency exchange HTX stated on Aug. 20 that an internal review found no official company accounts behind a series of disputed small cryptocurrency transfers. The denial followed user allegations that funds originating from HTX-linked addresses triggered compliance restrictions at Kraken and other exchanges.
An HTX representative using the @HTX_Molly account suggested that affected users might have initiated the transfers independently while attempting to test or protest Kraken's restrictions. Justin Sun separately dismissed reports that HTX deliberately sent the transfers as fabricated, while the exchange announced it was examining address labels and the sources of the transactions.
Onchain reports identified small unsolicited USDT transfers from addresses labeled as connected to HTX going to Kraken addresses. However, commentators noted that wallet labels alone do not establish official authorization, as exchange deposit addresses, payment processors, intermediaries, and user-controlled withdrawal activity can complicate attribution.
Kraken confirmed a broader policy of restricting transfers associated with Huobi or HTX, stating that U.K. government sanctions require it to restrict funds transferred directly into affected customer accounts. The policy follows the U.K.'s May 26 designation of Huobi Global S.A. under its Russia sanctions regime. Although HTX previously argued that Huobi Global S.A. was distinct from its online platform, the U.K. Office of Financial Sanctions Implementation rejected that distinction, stating that the designation applies to the HTX exchange under ownership rules.
An HTX representative claimed that known Kraken restrictions reached as high as $4.2 million, though HTX did not publish supporting account records, transaction hashes, or communications from Kraken to verify the figure. Kraken has not publicly confirmed the maximum amount, nor has it stated that every incoming transfer from an HTX-labeled address results in a full account freeze.
HTX reported it had created a group for affected Kraken customers to collect cases and seek the release of funds. Meanwhile, Kraken advised restricted customers to respond to documentation requests and contact its support team.
