Are HTX And Poloniex Mixing Crypto Reserves?

Crypto exchange HTX faces fresh questions about its financial transparency following new sanctions from the United Kingdom and the European Union. Blockchain analytics firm TRM Labs reports that HTX has started rapidly shifting on chain addresses to avoid strict screening measures. At the exact same time, HTX updated its proof of reserves report by hiding funds inside a mysterious third party category.

Investigators tracked a specific wallet holding roughly 71,853 stETH, worth about $135 million, right before the proof of reserves update took effect. On chain records show these funds moved directly into wallets associated with Poloniex before ending up at an address previously linked to Justin Sun. This trail points to HTX commingling its user reserves with funds held by Poloniex.

This is not an isolated incident for the platform. Past reports show that large portions of Bitcoin held on HTX relied on tokenized versions supposedly stored by Poloniex. Neither exchange has provided clear answers or shared specific addresses to verify the safety of these hidden user funds.

Traders and industry observers should watch for further updates on exchange transparency and proof of reserves audits. As regulators tighten rules around digital asset platforms, clarity on asset custody remains a top priority for the market.