FCA sues HTX in High Court over unregistered UK crypto promotions

The U.K. Financial Conduct Authority filed civil proceedings on Tuesday in the High Court in London against cryptocurrency exchange HTX, accusing the platform of promoting cryptoasset services to U.K. consumers without the required authorization. The regulator says the action, lodged on 22 October, targets entities linked to HTX and aims to stop what it describes as unlawful financial promotions aimed at British residents.

In court filings the FCA alleges HTX, formerly known as Huobi Global, breached the U.K. financial promotions regime by offering or advertising crypto services without meeting statutory requirements. The lawsuit names HTX, a predecessor entity and four unidentified individuals alleged to have been managing promotional activity for the exchange across social media and other channels. The FCA said the case is intended to protect consumers and uphold market integrity.

A spokesperson for the FCA reiterated the regulator’s stance on enforcement, saying, "We have seen crypto firms react positively to our financial promotions rules and regulations. However, where we still see poor practices, we will not hesitate to take action where firms appear to be breaching our...