Justin Sun’s HTX delists Trump family’s USD1 amid freeze fight
HTX delisted USD1 after saying World Liberty froze some on-chain addresses, and it converted user balances to USDT while suspending related trading pairs.
Intelligence analysis by GPT-5.4 Mini
HTX, the exchange linked to Justin Sun, says World Liberty Financial froze its addresses without enough notice or legal basis, so it removed USD1 and suspended related markets. The dispute adds to the public feud between Sun and WLFI.
It is like a store suddenly deciding not to accept one kind of gift card because it says another company locked its accounts without warning. HTX stopped taking USD1 and swapped customers’ balances into USDT while the two sides argue.
Analysis
What happened
HTX said it delisted USD1 after claiming World Liberty Financial froze specific HTX on-chain addresses during sanctions compliance reviews. The exchange said the freeze limited circulation of WLFI-linked assets tied to those addresses, and HTX responded by removing USD1 to protect user assets.
What HTX changed
According to the article, the delisting took effect on Sunday. HTX said deposit and conversion services for USD1 are no longer supported, and users’ USD1 balances will be converted into Tether (USDt) at a 1:1 ratio. It also suspended WLFI/USDT, USD1/USDT, BTC/USD1, and ETH/USD1 trading pairs.
The broader dispute
HTX argued that the addresses were frozen without enough prior communication, legal basis, disclosure, or due process, and said the move harmed user rights and assets. The exchange called on WLFI to reverse the freeze and said it may pursue legal remedies.
World Liberty has not publicly confirmed that it froze HTX’s addresses. The article notes that World Liberty posted on X that it maintains risk-based sanctions compliance controls. It also recalls earlier conflict between the sides: Sun sued World Liberty in April over allegedly frozen tokens, and World Liberty sued Sun in May for defamation and alleged violations tied to the WLFI token sale.
The article also notes that the UK sanctioned HTX on May 26, while HTX said the sanctioned Huobi Global S.A. entity is distinct from the online HTX exchange.
Key points
- HTX said it delisted USD1 after claiming World Liberty Financial froze specific HTX on-chain addresses.
- The exchange said USD1 deposits and conversions are no longer supported and balances will be converted to USDT at a 1:1 ratio.
- HTX also suspended WLFI/USDT, USD1/USDT, BTC/USD1, and ETH/USD1 trading pairs.
- The exchange said the freeze lacked proper notice, legal grounds, and due process, and it may seek legal remedies.
- The article places the move in the context of earlier lawsuits between Justin Sun and World Liberty Financial.
If HTX and World Liberty resolve the dispute, the exchange says it could better protect users’ holdings and restore clarity around the frozen addresses. A clearer settlement could reduce uncertainty around USD1 trading and related pairs.
If the freeze and legal fight continue, users may face more disrupted trading, conversions, and uncertainty over where their balances settle. The dispute could also deepen the conflict between HTX and World Liberty, keeping USD1 under pressure on exchanges that follow the move.
