HTX Crypto Exchange Hit with UK Sanctions Over Russian Sanction Evasion Claims

Key Takeaways

• Britain has imposed sanctions on HTX (previously known as Huobi Global) for purportedly facilitating Russian efforts to bypass international restrictions.
• A total of 18 organizations and individuals connected to Russia’s “unauthorized financial systems” are included in this sanctions initiative.
• Britain’s Regulation 17A of the Russia sanctions framework has been deployed against digital currency platforms for the first time, extending measures traditionally reserved for banking institutions.
• The A7 payment system stands accused of facilitating transactions exceeding $90 billion annually to enable Russian defense acquisition programs.
• British financial institutions and cryptocurrency service operators are now obligated to freeze assets and monitor blockchain activity associated with the sanctioned parties.

British regulators have imposed sanctions on digital currency platform HTX alongside 17 additional organizations and persons for purportedly assisting Russia in bypassing international financial restrictions connected to the ongoing conflict in Ukraine. This action represents an unprecedented step by UK financial authorities, marking the initial application of traditional banking sanctions framework to cryptocurrency trading platforms.

Scope of the Sanctions Initiative

The UK Foreign, Commonwealth & Development Office identified 18 organizations and persons in this enforcement action, including HTX (previously Huobi Global), Rapira Group, Aifory, Arvix, and Bitpapa. According to blockchain intelligence provider Elliptic, HTX processed approximately $3.3 trillion in transaction volume throughout the previous year.

Additional targets included the organization behind the USDKG precious metal-backed stablecoin, a Kyrgyzstan-based entity named Open Joint Stock Company “Virtual Asset Issuer.” Multiple individuals received designations, including Sergey Mendeleev, Igor Gorin, Irina Akopyan, and Israeli citizen Liran Cohen.

HTX issued a statement emphasizing that regulatory adherence represents its “paramount priority” and confirmed the platform monitors and complies with regulatory requirements across all operational jurisdictions.

A7 Payment System and Enhanced Oversight Requirements

The A7 payment infrastructure serves as a primary target within this enforcement package, with British authorities alleging it processed revenue from Russian petroleum transactions and supported military equipment purchases. Officials claim this network facilitated transfers surpassing $90 billion throughout the past year.

Britain deployed Regulation 17A from its Russia sanctions framework against the designated cryptocurrency platforms. This provision had historically been reserved exclusively for sanctioned banking institutions.

The updated regulations prohibit UK financial organizations and digital asset service providers from maintaining correspondent banking relationships with the designated entities. They may additionally face requirements to freeze financial resources and monitor blockchain activity linked to these platforms.

Elliptic cautioned that compliance verification could expand beyond immediate counterparties to encompass digital wallets and trading platforms appearing anywhere within transaction sequences, spanning multiple blockchain transfers.

HTX had previously attracted regulatory scrutiny. In 2025, Britain’s Financial Conduct Authority initiated legal action against the platform for unauthorized cryptocurrency advertising across platforms including TikTok, X, Facebook, Instagram, and YouTube.

Russia has encountered sanctions from Britain, the European Union, and additional nations following the commencement of its military operations in Ukraine during 2022. In April 2026, the European Commission implemented cryptocurrency-focused sanctions addressing stablecoins such as A7A5 and digital asset service providers associated with Belarus.

Concurrently, Russian legislative bodies have been developing regulations that would establish criminal consequences for unauthorized digital asset services and mandate registration with the nation’s central banking authority.

Elliptic observed that international regulators will likely monitor Britain’s approach carefully as the country pioneers this innovative framework for extending conventional financial sanctions to cryptocurrency markets.

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