FinCEN targets top-20 crypto exchange MEXC, alleging $16 billion in illicit flows tied to sanctioned entities, marking a significant escalation in U.S. regulatory oversight of foreign digital asset platforms.
FinCEN moved Friday to cut MEXC, a top-20 exchange processing over $1 billion in daily trades with about $5 billion in reserves, out of the US financial system over $16 billion in alleged illicit flows. A crackdown on a major venue raises enforcement and delisting risk across crypto and can pressure Bitcoin in the near term. The action targets one exchange, takes effect only 30 days after Federal Register publication, and MEXC says it continues to operate normally, which limits the blow to broader markets.
FinCEN issued an order that, once effective, bars US financial institutions from sending funds to or receiving funds from MEXC, including crypto transfers, over at least $16 billion in alleged illicit flows tied to Iran, North Korea and Russia.
The order takes effect 30 days after it is published in the Federal Register, and MEXC says it is reviewing the order while continuing to operate normally.
The U.S. Treasury's FinCEN has issued an order to cut off crypto exchange MEXC from the American financial system. The action, taken under Section 9714, cites $16 billion in illicit transactions linked to Russian, Iranian, and North Korean sanctions evasion. While MEXC maintains normal operations, the move marks the largest enforcement action against a crypto exchange under this specific provision.
FinCEN issued an order that, once effective, bars US financial institutions from sending funds to or receiving funds from MEXC, including crypto transfers, over at least $16 billion in alleged illicit flows tied to Iran, North Korea and Russia.
The order takes effect 30 days after it is published in the Federal Register, and MEXC says it is reviewing the order while continuing to operate normally.