TRM Labs: HTX Rotates Wallet Addresses Every Few Hours to Evade Sanctions Screening

Blockchain intelligence firm TRM Labs stated in a July 22 analysis that Justin Sun-linked crypto exchange HTX rotates its wallet addresses every few hours to evade sanctions screening based on static address lists. This follows the UK Foreign, Commonwealth and Development Office (FCDO) imposing sanctions on Huobi Global S.A. in May, alleging it was used by the Russian A7 network to bypass sanctions against Russia. HTX argues that the sanctioned Huobi Global S.A. is not the same entity as the HTX online platform, but court documents show Huobi Global S.A. holds HTX’s U.S. trademark and claims to operate the platform. TRM Labs Global Policy Director Ari Redbord noted that HTX’s actions aim to “stay ahead of screening based on static lists.” HTX responded to The Block, stating that the operations are standard industry security maintenance and firmly denied any misconduct. TRM Labs and Justin Sun-related entities continue to cooperate within the T3 Financial Crime Task Force. The practice of frequent wallet address rotation underscores the need for on-chain compliance screening to evolve from static lists to dynamic, real-time monitoring.