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Huobi HTX Founder: Platform Operating Normally, Calls on All CEXs to Avoid "Harming" Regular Users

50 minutes ago

May 28 — Huobi HTX’s CEO addressed recent issues related to restrictions on user fund flows in a social media post, stating that due to the exchange’s involvement in a UK-related sanctions dispute, some third-party risk control and security systems have broadly flagged all addresses involved in HTX fund transactions. As a result, some users have faced fund flow restrictions, disrupted trading, and even account freezes. HTX described this as an extremely rare large-scale "collateral damage" incident impacting ordinary users in the history of the crypto industry. HTX emphasized that the platform’s trading, deposit/withdrawal, and over-the-counter (OTC) functions are currently operating normally, and user assets can still be withdrawn to the blockchain. However, the exchange warned that if in the future users are only able to withdraw funds to the blockchain or exit via OTC, it would signal the loss of "interoperability" among centralized exchanges. This is not just a problem for HTX; it is a major challenge facing the entire crypto industry’s trust framework. Furthermore, HTX stated that it will continue to actively cooperate with compliance reviews and relevant communications, and called on major exchanges to collectively provide feedback to third-party risk control agencies regarding user mislabeling and account freezes. The exchange also aims to optimize its risk control logic for HTX users to prevent ordinary users from bearing the cost of system misjudgments. HTX concluded that the platform will not run away from or evade these issues and will consistently work toward resolving the related problems.
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