I'm getting refusal for trying to set mode +h to myself, which is how pheonix can "supposedly" use an ownerkey (or hostkey) with /hop on an IRCX server. Just check his alias.

And btw, I tested what Raccon said, and I CAN see the key being sent in the @Raw window. It only happens when you use /hop to join another channel.

If i'm in #chan1 and then I use "/hop #chan2 key" this is what I get:

-> IRCX-CITY-KT-UK PART #chan1 :key
-> IRCX-CITY-KT-UK JOIN #chan2 key