FCA Sues HTX for Breaching Financial Promotion Regulations

The Financial Conduct Authority (FCA) has initiated legal proceedings against global crypto exchange HTX for violating financial promotion regulations.

Since October 2023, all firms marketing cryptoasset services to UK consumers must comply with the FCA's financial promotions regime. The rules aim to protect consumers from unfair and misleading advertising practices.

HTX has failed to adhere to these requirements despite repeated warnings from the FCA. The exchange operates an opaque organizational structure, concealing its ownership information, which further complicates regulatory efforts.

The FCA has requested that social media companies block HTX's accounts from UK-based consumers and remove their applications from app stores, including Google Play and Apple stores.