Crypto exchange HTX has categorically rejected U.K. claims that it assisted Russia's financial infrastructure, stating it explicitly rejected A7A5's stablecoin listing application during its internal compliance review process. According to reports from CoinDesk, a HTX spokesperson confirmed that A7A5 was attempting to list their stablecoin, but following rigorous internal due diligence and compliance review processes, their application was explicitly rejected. The exchange's refusal comes amid broader concerns about secondary sanctions that have affected other centralized exchanges, with the denial contradicting the U.K.'s characterization of HTX's involvement with the Russian stablecoin. A7A5 executive Oleg Ogienko has confirmed HTX's account, telling CoinDesk that the stablecoin approached all leading centralized exchanges for a listing and was turned away by every one of them, with secondary sanctions fears cited as the reason.
The U.K. Foreign Office sanctioned A7A5 stablecoin issuer A7 LLC on Tuesday, citing 'reasonable grounds to suspect' HTX was assisting A7 in business activities of strategic significance to the Russian government. As reported by CoinDesk, the ministry specifically stated that A7 is 'carrying on business in a sector of strategic significance to the Government of Russia.' However, the Foreign Office did not provide specific evidence of any direct HTX-A7A5 cooperation in its sanctions note, instead relying on the broader assertion that HTX was 'carrying on business in a sector of strategic significance to the Government of Russia.' This gap between the sanctions allegations and concrete evidence highlights a tension facing centralized exchanges under increasing regulatory scrutiny.
According to A7A5 executive Oleg Ogienko, the token's issuer approached all leading centralized exchanges several months ago to list A7A5, including HTX, but all applications were rejected almost immediately due to concerns about secondary sanctions. As reported by CoinDesk, Ogienko explained that exchanges are 'scared of secondary sanctions' and that 'all of them rejected our application almost at once.' His candid assessment reveals the calculus facing exchanges in a sanctions environment, with the fear of secondary sanctions — penalties imposed on third parties that facilitate dealings with sanctioned entities — creating an effective de-listing wall for stablecoins associated with Russia. HTX's rejection aligns with the risk-averse stance other platforms have taken, effectively pushing Russian stablecoins toward decentralized alternatives beyond traditional regulatory reach.
Despite exchange rejections, A7A5 has adapted its operations to operate independently of centralized exchanges, with Ogienko stating the company's 'business model runs on DeFi infrastructure.' According to CoinDesk, Ogienko remains 'open for interaction with CEXes if they want to increase their real trade volume and attract good clients.' He emphasized that A7A5 is fully compliant with Kyrgyz and Russian regulations and 'the principles set out by the Financial Action Task Force (FATF),' stating 'We do not violate any legislation.' A7 LLC, the entity issuing the stablecoin, is already sanctioned by Western governments including the United States and the United Kingdom, making regulatory acceptance in Western jurisdictions nearly impossible despite the company's compliance claims.
