Crypto exchange HTX will soon delist World Liberty Financial's USD1 stablecoin and convert eligible user holdings to Tether's USDT at a 1:1 ratio, the exchange announced Saturday. The move is the latest escalation in a standoff over the Trump-linked project's freezing of HTX-linked onchain addresses.
The delisting will take effect at 3:00 UTC on June 7. HTX had already suspended trading for the WLFI/USDT, USD1/USDT, BTC/USD1, and ETH/USD1 pairs as of 13:00 UTC on June 5, according to an earlier statement.
The exchange said the World Liberty Financial (WLFI) project team, which issues both the WLFI governance token and the USD1 stablecoin and is closely associated with the Trump family, had unilaterally frozen specific HTX onchain addresses citing sanctions compliance reviews.
"HTX believes that the WLFI project team's unilateral freezing of these addresses—conducted without sufficient prior communication, adequate contractual or legal grounds, transparent disclosure, or adherence to due process—directly infringes upon the legitimate rights and interests of HTX users in their assets," the exchange wrote in a statement.
HTX spokesperson Molly Fu said on X that the affected assets "are not assets belonging to any sanctioned entity" but rather "assets legally purchased and owned by individual users." The exchange called on WLFI to immediately unfreeze the affected user assets.
