EU expands HTX crackdown as Russia-linked crypto network keeps shifting its financial rails

The European Union has sanctioned HTX, widening a Russia crackdown that has already affected counterparties beyond the exchange.The bloc placed Huobi Global S.A., the entity behind HTX, under a transaction ban in its 21st sanctions package adopted July 23. From Aug. 23, EU operators will be prohibited from transacting with the exchange, though the restrictions stop short of freezing its assets.The move follows Britain’s May action against Huobi Global, which triggered tighter scrutiny of HTX-related transfers at other major crypto exchanges.The EU is now taking that pressure further, introducing a mechanism that could eventually restrict crypto services across entire countries that host platforms used to evade Russia sanctions.UK sanctions pushed scrutiny onto counterpartiesBritain’s May designation showed how restrictions on HTX could quickly spread to businesses and customers outside the exchange.After the UK targeted Huobi Global on May 26, OKX warned customers who had previously conducted arbitrage between its platform and HTX that continuing to transfer funds between the two exchanges could trigger additional scrutiny of their accounts.“Please avoid this behavior,” OKX told us...