FCA Sues HTX in High Court Over Illegal UK Crypto Promos – Feb 2026

The UK’s Financial Conduct Authority (FCA) has launched legal proceedings against HTX (formerly Huobi), alleging the exchange illegally promoted cryptoasset services to UK consumers. The action targets Huobi Global S.A. and several categories of “Persons Unknown” tied to control of HTX’s website, apps, and promotional channels, as UK regulators escalate enforcement of the financial promotions regime.

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Context

FCA sues HTX as UK rules tighten around crypto marketing, especially for offshore firms reaching UK consumers. The regulator says its financial promotions regime applies to cryptoasset promotions and is designed to ensure marketing is fair and not misleading, with breaches potentially treated as a criminal offence when firms advertise without complying.

The FCA says it has previously warned about HTX’s promotions aimed at UK consumers, and that the firm continued publishing financial promotions on its website and via major social platforms. The FCA also points to broader action on misleading ads: in 2024, nearly 20,000 financial promotions were withdrawn or amended following FCA intervention, almost double the prior year.

Details

The FCA’s case naming structure is unusual by design. Alongside Huobi Global S.A., the FCA lists multiple “Persons Unknown” categories covering those who own or control the HTX exchange website and associated mobile apps, those who fall under “HTX Operators” as defined in the exchange’s user agreement, and those controlling promotional activity across channels including TikTok, X, Facebook, Instagram, and YouTube.

In a February 2026 update, the FCA says the High Court granted permission to serve the proceedings out of the jurisdiction and by alternative means. The FCA also published key case documents, including the claim form and particulars of claim dated October 2025, plus a February 2026 court order.

“Our rules are designed to support a sustainable and competitive crypto market in the UK, ensuring that consumers have what they need to make informed decisions… This is the first time we’ve taken enforcement action against a crypto firm illegally marketing their products to UK consumers. We’ll continue to act against firms who ignore our rules.” – Steve Smart, Joint Executive Director of Enforcement and Market Oversight, Financial Conduct Authority, 9 Feb 2026.

Impact

For exchanges serving UK users, the immediate takeaway is practical: marketing and distribution controls now sit alongside licensing and AML expectations as an enforcement trigger. The FCA says it asked social media companies to block HTX’s social media accounts to UK-based consumers, and requested the removal of HTX applications from the Google Play and Apple stores in the UK.

The regulator also highlights consumer downside when dealing with unauthorised firms. The FCA says consumers dealing with HTX will not have access to the Financial Ombudsman Service if they have a complaint, and are unlikely to get their money back if the firm goes out of business.

The structure of the case also matters for offshore platforms that operate behind layered entities. The FCA alleges HTX runs an opaque organisational structure that hides the identities of its owners and site operators, and says repeated attempts to engage with the firm were ignored. The FCA adds that HTX took steps to restrict new UK customers from registering after proceedings were issued, but that existing UK users can still log in and access unlawful financial promotions, with no assurance the changes will be permanent.

Next Steps

The legal process now shifts into court mechanics: service, responses, and timetable. The FCA’s published notice instructs anyone who believes they are among the “Persons Unknown” defendants to contact the regulator to request additional documents related to the proceedings.

For market participants, the compliance playbook is straightforward. UK-facing exchanges, affiliates, and “finfluencer” distribution networks will likely face tighter review of landing pages, sign-up funnels, and social content, especially where promotions target UK consumers without an authorised approver. As the FCA frames it, the goal is not to block crypto activity outright, but to force promotions into a regime where consumers can make informed decisions based on clear, fair, and accurate marketing.

FCA-style enforcement can reshape where liquidity and users move – fast. Web Snack delivers a daily crypto market overview with the signals that matter (regulation, market moves, and key narratives) in a few minutes.

P.S. This article is for informational purposes only and does not constitute investment advice. Always conduct your own research and make independent decisions.