FTX’s Asset‑Recovery Push and Its Impact on HTX

The FTX bankruptcy estate, still clawing through the fallout of the 2022 collapse, has escalated its legal campaign against the assets tied to HTX and Poloniex. On January 16, 2026, the estate announced that it would pursue litigation against exchanges linked to Justin Sun, the founder of Huobi, as part of its broader strategy to reclaim assets that were frozen during the FTX crisis. This move comes at a time when the estate has also set a definitive timetable for the next major creditor distribution, indicating that it is tightening its squeeze on the remaining holdings.

The lawsuit’s focus on Justin Sun‑affiliated exchanges is a stark reminder that HTX, the native token of Huobi, remains entangled in the legal fallout. Although Huobi’s global operations are not under the direct jurisdiction of the FTX estate, the asset‑recovery efforts underscore how intertwined the crypto ecosystem is. The estate’s filings argue that Sun owes millions of dollars’ worth of assets that have not yet been surrendered, a claim that could compel exchanges and custodians to hand over HTX reserves that were previously locked in the wake of FTX’s liquidation.

HTX DAO’s Record Token Burn

In a counterpoint to the legal drama, the HTX Decentralized Autonomous Organization (DAO) announced that it had completed a record‑high token burn for the fourth quarter of 2025. This burn, which eliminated a significant portion of the circulating supply, is part of the project’s ongoing supply‑management strategy. By reducing the available HTX on the market, the DAO aims to curb inflationary pressure and bolster the token’s intrinsic value.

However, the burn’s impact on price remains uncertain. HTX traded at a mere $0.00000177711 on January 16, 2026, with its 52‑week high standing at $0.00000265483 and its low at $0.00000149252. The token’s narrow price range suggests that market participants are still grappling with external pressures—most notably, the asset‑recovery lawsuits—and internal supply‑side dynamics.

The FTX estate’s claim that Justin Sun owes millions of dollars creates a chilling effect on investor confidence. If the lawsuit forces Sun or his affiliated exchanges to liquidate HTX holdings, the sudden influx could exacerbate volatility. Conversely, if the estate succeeds in reclaiming a portion of the frozen assets, it could leave a vacuum that might compel Huobi to reassess its treasury policies.

The combination of a record token burn and a looming legal battle presents a paradox for HTX: a deliberate supply contraction paired with an external supply shock. For stakeholders, the message is clear—watch the court filings closely, and be prepared for price swings that could swing the token in either direction, depending on how the legal wrangling resolves.

Bottom Line

FTX’s intensified asset‑recovery campaign, targeting Justin Sun and the HTX‑linked exchanges, introduces a high‑stakes legal dimension to an already volatile market. Coupled with the DAO’s aggressive token‑burn strategy, HTX’s trajectory will hinge on the outcome of these lawsuits. The token’s narrow price range, combined with the legal uncertainty, suggests that any significant movement will likely come from court rulings rather than organic market forces. Investors and analysts alike should monitor the estate’s filings and Huobi’s response, as these developments will determine whether HTX can stabilize its value or be swept into deeper turbulence.