I just came across some pretty serious news: Binance has notified users that, effective immediately, it will no longer process transfers involving MEXC. The list names 13 MEXC-related individuals and affiliated entities. Binance will reject transfers sent there outright, while deposits coming from there will first be held for compliance review; further transactions could also be restricted or even result in account closures.
This stems from a November 6 order by the U.S. FinCEN, which alleges that around $16.7 billion in potentially illicit funds flowed through MEXC between May 2021 and May 2026. The ban on U.S. financial institutions doesn’t officially take effect until December 10, so Binance has effectively acted a month early. MEXC says its services are operating normally and users’ assets are safe, and its CEO has said the company will conduct an independent review. However, on-chain investigator ZachXBT has publicly challenged the $16.7 billion figure and called on FinCEN to provide the data.
In my view, Binance has moved even faster this time than it did in August, when it blocked 16 platforms. The pressure to stay compliant is only tightening. For MEXC users, this will certainly be a hassle in the short term, narrowing their options for moving funds. But looking at the bigger picture, this kind of preemptive distancing shows that major exchanges no longer want to give regulators grounds for criticism. The market performance of and is unlikely to be directly brought down by this, but the real thing to watch is whether other exchanges follow suit before December 10.
Not investment advice.
This stems from a November 6 order by the U.S. FinCEN, which alleges that around $16.7 billion in potentially illicit funds flowed through MEXC between May 2021 and May 2026. The ban on U.S. financial institutions doesn’t officially take effect until December 10, so Binance has effectively acted a month early. MEXC says its services are operating normally and users’ assets are safe, and its CEO has said the company will conduct an independent review. However, on-chain investigator ZachXBT has publicly challenged the $16.7 billion figure and called on FinCEN to provide the data.
In my view, Binance has moved even faster this time than it did in August, when it blocked 16 platforms. The pressure to stay compliant is only tightening. For MEXC users, this will certainly be a hassle in the short term, narrowing their options for moving funds. But looking at the bigger picture, this kind of preemptive distancing shows that major exchanges no longer want to give regulators grounds for criticism. The market performance of and is unlikely to be directly brought down by this, but the real thing to watch is whether other exchanges follow suit before December 10.
Not investment advice.
