Regarding the U.S. Treasury Department’s FinGEN sanctions against MEXC, as an investor who is always looking for investment opportunities, I have a few thoughts:
Looking back, there was a case involving similarly negative news at the time: the O— exchange.
As for the MEXC situation, I think we should continue to keep a close eye on how things develop.
Everyone should still remember the incident involving CEO Xu of the O— exchange back in 2024.
In March 2024, rumors circulated in the Chinese crypto community that he had been arrested and was under investigation in the United States. He responded at the time, and relevant executives at the O— exchange also publicly denied the arrest rumors.
If you looked only at those messages at the time, it would have been easy to think that a certain O exchange was about to be dealt with by the U.S., and that it had no future prospects.
But when you look further down the timeline, the story gets very interesting.
In February 2025, the overseas operating entity of a certain O exchange did indeed plead guilty in the U.S. It paid more than $500 million in fines and forfeitures, and also agreed to continue hiring outside compliance consultants. These were actual enforcement actions and penalties.
Then, on March 5 of the same year, ICE, the parent company of the NYSE, surprisingly announced a direct investment in the O exchange and said it would obtain a board seat. The deal valued the O exchange at $25 billion.
Wow, the takeaway here is that most ordinary investors were influenced by negative news and missed the investment opportunity. After all that negative news, the company ultimately succeeded in expanding into the U.S. and its valuation surged.
From rumors that it had gotten into trouble in the U.S., to expanding its U.S. business, and then to an investment by the NYSE's parent company. There really was enforcement and punishment along the way, but it also went on to forge a new path for growth.
If you had stopped the story at “it’s under scrutiny in the U.S.,” you would have missed what came next.
So my take on what’s happening with MEXC is not to focus on how bad things look right now, but to remain skeptical.
One possibility to consider is:
“Could this be a white-hat maneuver?”
And could it use this opportunity to ultimately pass the U.S. regulatory review in full?
Think about it: most platforms spend ages applying and a fortune in fees, yet this MEXC guy got fast-tracked through the review.
So, could this turn into an investment opportunity in the next phase?
Absolutely don’t blindly follow the market and generate traffic for others again. The question is whether you’ll get a genuine opportunity to get in at the bottom.
What I’m watching is whether deposits and withdrawals continue to work completely normally, with no liquidity crisis, and whether user restrictions are lifted once the incident is over.
If things get to that point, I’ll definitely go all-in on buying the dip in MX.
You find great opportunities by not blindly following the crowd.
#NFA (Not Financial Advice)
