Home
Cryptocurrency
Cryptocurrency News
HTX Delists USD1 Stablecoin, Asks World Liberty Financial to Reverse Freeze on Exchange's Addresses

HTX Delists USD1 Stablecoin, Asks World Liberty Financial to Reverse Freeze on Exchange's Addresses

The crypto exchange has removed USD1 and suspended related trading pairs.

Written by Rahul Dhingra, Edited by David Delima | Updated: 8 June 2026 15:37 IST

HTX Delists USD1 Stablecoin, Asks World Liberty Financial to Reverse Freeze on Exchange's Addresses

Photo Credit: Unsplash/Vagaro

HTX challenges freeze on its addresses linked to WLFI assets

Click Here to Add Gadgets360 As A Trusted Source

Highlights

USD1 balances to be converted to USDT on a 1:1 basis
HTX says the freeze lacked transparency and due process
Dispute follows ongoing legal battle involving Justin Sun

HTX, the crypto exchange associated with Tron founder Justin Sun, has delisted the USD1 stablecoin after he claimed that World Liberty Financial wrongly froze the exchange's addresses. The delisting took effect on Sunday. However, depositing and converting USD1 is no longer possible; users' USD1 will be converted to Tether (USDt) on a 1:1 basis, while the specifics of when and how will be provided elsewhere. It has also suspended trading in the WLFI/USDT, USD1/USDT, BTC/USD1, and ETH/USD1 pairs.

HTX Calls on World Liberty Financial to Reverse Address Freeze

The exchange stated that its addresses were frozen “without sufficient prior communication, adequate contractual or legal grounds, transparent disclosure, or adherence to due process” and that the decision breached the rights of its users and their assets. The Sun-owned exchange has now called WLFI to reverse the freeze. HTX stated that it would undertake steps in order to protect users' legitimate rights and interests, including but not limited to legal actions.

Cryptocurrency Discussion

Explore More...

In a statement by HTX, the company said, “The World Liberty Financial (WLFI) project team recently stated that it has unilaterally imposed a freeze on specific HTX on-chain addresses based on sanctions compliance reviews [...] As a result, the on-chain circulation of certain WLFI assets associated with these addresses has been restricted,” it said, adding it delisted USD1 to safeguard user assets.

Bitcoin Rebounds as Buyers Return Despite ETF Outflow Concerns

HTX, previously known as Huobi Global, was sanctioned last month by the UK's Commonwealth and Development Office (FCDO) because it had "reasonable grounds to suspect" that HTX provided financial services to Russia's government. The main target of this move was the A7 network, which is a group of companies that had claimed to drive around $90 billion (roughly Rs. 8,61,120 crore) into the Russian economy last year using crypto.

It all started in May, when Tron founder Justin Sun was facing a defamation lawsuit filed by World Liberty Financial in Florida; this instance had escalated the legal fight between WLFI and one of its largest investors. The lawsuit, filed in the Eleventh Judicial Circuit Court for Miami-Dade County, accused Sun of making false public statements about World Liberty and violating the terms of the WLFI token sale through alleged prohibited transfers, short selling, and straw purchases. The lawsuit also seeks a court-ordered retraction and compensation from the Tron founder.

Cryptocurrency is an unregulated digital currency, not a legal tender and subject to market risks. The information provided in the article is not intended to be and does not constitute financial advice, trading advice or any other advice or recommendation of any sort offered or endorsed by NDTV. NDTV shall not be responsible for any loss arising from any investment based on any perceived recommendation, forecast or any other information contained in the article.

Comments

Get your daily dose of tech news, reviews, and insights, in under 80 characters on Gadgets 360 Turbo. Connect with fellow tech lovers on our Forum. Follow us on X, Facebook, WhatsApp, Threads and Google News for instant updates. Catch all the action on our YouTube channel.

Further reading: Cryptocurrency, Crypto News, USDT

Rahul Dhingra

Email Rahul Dhingra

Rahul Dhingra is a crypto writer at Gadgets 360, where he covers the exciting world of Cryptocurrency, Blockchain, Defi and Web3. Before joining Gadgets 360, he worked as a content specialist for a European-based Crypto Exchange. Rahul loves storytelling, not just through the written word but also through the visual medium. Beyond his professional life, Rahul is a sports fanatic. Whether it’s cricket or football, his passion for the game is contagious. More