The European Union has incorporated the cryptocurrency exchange HTX, previously known as Huobi Global, into a new package of sanctions aimed at Russia in light of the country's continuing war against Ukraine. This action places HTX on a list of entities sanctioned by the UK for related reasons.

In a decision made on a Thursday, the European Council revised its existing measures, citing the need for action "in view of Russia’s actions destabilizing the situation in Ukraine." As a result, HTX was added to a group of 18 entities described as "providing crypto-assets services or payment services established outside of the Union that are significantly frustrating the purpose of the prohibitions" against Russia. The nation has been facing extensive global sanctions since its full-scale military invasion of Ukraine in 2022.

EU officials provided a detailed explanation for their strategy. "The Union has repeatedly taken measures to identify financial institutions, credit institutions or entities providing crypto-asset services or payment services that facilitate a continued financial lifeline for Russia’s war of aggression against Ukraine," they stated. The officials noted these entities aid Russia "whether by connecting to the system for transfer of financial messages of the Central Bank of the Russian Federation or by enabling the circumvention of Union restrictive measures," leading the EU "to prohibit any transaction between those institutions or entities and Union operators."

In a past statement to Cointelegraph, HTX had emphasized that "regulatory compliance remains [its] absolute top priority." The exchange also asserted its commitment to "proactively monitor and strictly adhere to regulatory frameworks in all jurisdictions."

The EU's move against HTX is not an isolated incident. In May, the United Kingdom's government imposed comparable sanctions on the exchange. The UK cited "reasonable grounds to suspect" that HTX was offering support to the Russian government by utilizing financial services and making funds available through already sanctioned parties.

On the same day the HTX sanctions were finalized, EU officials also announced a prohibition preventing Belarusian nationals and residents from owning, controlling, or managing crypto exchanges and providers of digital asset services. This separate but concurrent measure aligns with the region's Markets in Crypto Assets (MiCA) framework.