From Asset Transparency to Global Compliance: The Security Evolution of Huobi HTX

With the approval of Bitcoin and Ethereum ETFs, the crypto market is continually maturing, and the entry of traditional financial giants has sparked an undeniable financial storm in this once niche geek domain. According to data from CoinGecko, since the second half of 2025, the total market capitalization of the crypto assets market has frequently surpassed the $4 trillion mark, with BTC breaking through the $120,000 barrier, setting a new historical high. Countless investors are turning their attention to the crypto market, hoping to get a slice of the pie.

However, while the crypto market continues to improve, the crypto industry has still not been able to shake off the persistent old problem – “hacker attacks.” In fact, as the market capitalization of crypto assets continues to rise, hacker attacks have become increasingly profitable. In February 2025, the cryptocurrency exchange Bybit suffered a major security breach, resulting in significant losses exceeding $1.4 billion, marking the largest theft in the history of crypto assets; in June, Iran's largest crypto trading platform Nobitex was hacked, with nearly $100 million in assets destroyed; in November, the decentralized exchange Balancer faced another hacker attack, with over $100 million in digital assets stolen…

One by one, it feels like yesterday, sounding the alarm for safety in the industry time and again. According to statistics from Chainalysis, in the first half of 2025, cryptocurrencies worth over $2.17 billion have been stolen, and it is expected that by the end of the year, the stolen funds could reach $4 billion.

As a leading exchange in the crypto field, Huobi HTX has consistently increased its investment in security. From asset transparency to anti-fraud promotion, from compliance layout to technological foresight, Huobi HTX has written a “model of industry safety” with practical actions, interpreting a truly resounding “safety declaration.”

1. How to Build Trust? - Discussing Asset Transparency and Risk Control Hard Power

For exchanges, “security and trust” has never been a light slogan, but rather a core competency that needs to be “proven” through day-to-day practice. Huobi HTX has been deeply rooted in the encryption field for many years and understands that only by “building trust” can users feel at ease. The key to “building trust” lies in “asset transparency” and “strong risk control capabilities.”

Huobi HTX has always emphasized asset transparency. As one of the earliest exchanges to adopt the Merkle tree proof of reserves, Huobi HTX has publicly disclosed its proof of reserves (PoR) audit reports for 37 consecutive months. Huobi HTX continues to expand the coverage of proof of reserves assets, with USDT as the core stablecoin of the trading market, and the current reserve ratio is 101%, with the disclosed assets increasing to 10.

Huobi HTX understands the concept of “turning passivity into proactivity” and welcomes users to visit the “Assets - Reserve Proof Report” page on the Huobi HTX official website at any time to view the monthly updated reserve proof reports. It is precisely this wise move of regularly publishing reserve proof reports that puts crypto assets under the spotlight, fulfilling the commitment to safeguard user funds with care.

To achieve comprehensive protection of user assets and platform operations, Huobi HTX will also undergo multiple upgrades and technical restructuring of its security system in the first half of 2025, establishing a three-tier security system covering “risk control, operations, and security intelligence.”

In terms of risk control, Huobi HTX has developed a millisecond-level real-time risk control rule engine and a comprehensive monitoring and alarm system. In addition, strict asset allocation standards have been set, ensuring that hot wallet assets are controlled at 2%, warm wallet assets at 8%, and cold wallet assets at 90%. In terms of operations, Huobi HTX has established a 7×24 hour customer service and security operation response team, providing a solid backing for users' secure transactions. Regarding security intelligence, Huobi HTX maintains close communication and cooperation with leading security companies in the industry, project parties, and exchanges to establish a “joint prevention and control mechanism.” Based on this comprehensive security system, Huobi HTX continues to reduce the probability of users falling victim to scams.

2. How to Actively Protect the City? — Discussing Anti-Fraud Practices and User Education

The biggest shortcoming for ordinary users in protecting their asset security is the neglect of risk warnings. Many users only realize after suffering actual losses that the platform had already sent risk warning emails about abnormal logins or transactions, leading to many avoidable losses.

To this end, Huobi HTX has taken proactive measures, maintaining a high-pressure and high-frequency risk control investment, continuously providing solid protection for user assets through multidimensional security construction: In just the third quarter of this year, Huobi HTX sent out 742,261 safety alerts to users; intercepted 15 fraudulent withdrawal requests, recovering losses of 105,300 U; handled 44 incidents of external stolen asset inflows, assisting in freezing stolen funds of 1,290,000 U; added 5,825 new blacklisted addresses, intercepted 34 transactions from black addresses, amounting to 865,000 U; and removed 71 phishing websites and counterfeit apps.

In response to the situation where “criminals impersonate Huobi HTX officials and charge users fees under the pretext of 'lifting withdrawal restrictions'”, Huobi HTX has also launched an “Anti-Fraud Declaration” and solemnly declared: lifting withdrawal restrictions is completely free of charge, and any charging behavior is fraud! Recognize the only official channels, and work together to combat fraud crimes.

On one hand, Huobi HTX is acting swiftly and decisively; on the other hand, users are actively providing feedback on “anti-fraud tips”: “The official actions are quick, we need to be more vigilant ourselves!” “A smooth reporting channel is reassuring” “The reporting channels are clear and straightforward”… Additionally, long-time users of the platform especially praised the customer service response speed and problem-solving efficiency of the Huobi HTX platform.

While promoting anti-fraud awareness, in the third quarter of 2025, the $HTX token will experience the largest record burn, demonstrating Huobi HTX's determination to return ecological income to the community and achieve token value growth. Ongoing deflationary measures not only optimize the token circulation structure but also further consolidate the long-term value foundation of $HTX , thereby enhancing brand trust.

Huobi HTX focuses on educating users about security, fundamentally enhancing their awareness of security to ensure the safety of user assets. Throughout 2024, Huobi HTX will launch 52 learning and earning activities through the “Growth Academy”, attracting 468,000 users to participate and distributing 249,000 USDT in rewards, making an outstanding contribution to user education in the crypto market. When users trigger abnormal operations, the platform will pop up a “Risk Warning Window” to forcefully guide users to confirm safety instructions.

From platform security construction to user security education, Huobi HTX practices the concept of “user asset security first”. Through comprehensive security prevention measures, it transforms users from “risk victims” into “asset guardians”.

III. How to Win the Future? — Discussing Compliance Layout and Technological Prospects

The crypto industry has grown over the years, transitioning from “barbaric growth” to “compliant development.” As cryptocurrencies move towards reshaping the financial landscape, compliant development has long surpassed regulatory requirements and become the cornerstone of industry development.

The increasingly clear global regulatory situation is an undeniable fact: On January 20, Trump was sworn in as the first “crypto president” in U.S. history; on March 7, Trump signed an executive order to establish a strategic Bitcoin reserve; on April 22, Paul Atkins officially replaced Gary Gensler as the chairman of the SEC; on May 21, the Hong Kong Legislative Council officially passed the “Stablecoin Ordinance Draft” in its third reading; on June 17, the U.S. Senate passed the landmark “GENIUS Act”… Each event that favors regulatory clarity will become the ultimate opportunity to drive the leapfrog development of the crypto industry.

Under the current backdrop of regulatory green lights, only those companies that regard compliance as a development strategy can seize new opportunities amid the industry reshuffle, while those conservative players that continue to “grow wildly” will eventually be eliminated. Therefore, only by adapting to regulatory compliance requirements and embracing cutting-edge technology can ensure that Huobi HTX remains prosperous.

In 2025, Huobi HTX will continue to strengthen its global compliance strategy, actively applying for multiple core licenses while ensuring compliant operations and building a long-term sustainable global compliance system.

Huobi HTX also focuses on building a comprehensive anti-money laundering and risk control system at the international level: Huobi HTX has established long-term cooperation with several internationally renowned on-chain monitoring institutions to identify and intercept transactions involving high-risk or blacklisted wallet addresses in real time, fully preventing anti-money laundering risks. At the same time, the platform has built a compliance management system that integrates identity verification, automated trading monitoring, and account management, continuously creating a safe and reliable trading environment for users.

In terms of building a technical ecosystem, Huobi HTX has achieved three core upgrades: dynamic permission verification, full-link transaction verification, and normalization of red-blue confrontation. Regarding dynamic permission verification, fund operations require both environmental labels and biometric dual authentication to ensure the consistency between the operator and the operating environment; in terms of full-link transaction verification, a transaction content comparison mechanism based on smart contract level fundamentally eliminates transaction fraud that occurs after front-end UI tampering; in terms of the normalization of red-blue confrontation, the security team simulates the latest attack methods of hacker organizations and APT organizations every month to promote defense through offense and strengthen the platform's adaptability.

Conclusion

The competition among cryptocurrency exchanges is no longer just a matter of technology and users, but a battle for compliance, transparency, and security. The crypto industry is transitioning from the “wild west” era to the “compliance era”: a trading platform that can gain user reputation in the compliance era will surely be a pioneer that can balance compliance endorsements with technological upgrades.

From 37 months of continuous disclosure of PoR audit reports, rigorous and prudent MPC and dual-device risk control measures, over 740,000 security reminders in a quarter, to actively embracing regulatory compliance strategies and building an international anti-money laundering system… Huobi HTX is taking solid steps at the forefront of industry development.

Looking to the future, the crypto industry is facing unprecedented opportunities - a global compliance framework is taking shape, and traditional financial capital is rushing in. Therefore, the word “compliance” serves as a bridge connecting traditional finance and crypto finance. When traditional and crypto collide, the financial value and inclusive value derived from “compliance” as a cornerstone can illuminate the dreams envisioned in the era of crypto finance.