Blockchain analytics firm TRM Labs reports that HTX, the exchange formerly known as Huobi, is repeatedly generating new deposit and withdrawal addresses in an apparent effort to evade UK sanctions screening tools. The pattern of rapid wallet turnover makes it difficult for compliance systems to link transactions to the sanctioned entity.

UK authorities placed the exchange on a sanctions list in May, citing allegations that it facilitated Russian sanctions evasion. The designation obliges financial institutions and crypto service providers to block or flag any activity tied to HTX’s identified addresses.

According to the wire, TRM Labs observed a sustained increase in fresh wallet creation across multiple blockchains, a tactic that mirrors evasion methods seen with other sanctioned platforms. The analytics firm says the behavior suggests a deliberate strategy to maintain access to UK‑linked payment rails despite the restrictions.

Regulators are expected to keep a close watch on HTX’s on‑chain activity, and further enforcement measures could be pursued if the rotation continues. The exchange has not publicly responded to the latest findings.