U.S. Treasury bans MEXC Global over illicit transactions
6.6 Regulation The U.S. Treasury has barred MEXC Global from the U.S. financial system, alleging $16B in illicit transactions linked to Iran, North Korea, and Russia. U.S. banks must not process transfers involving MEXC.
The U.S. Treasury Department has ordered cryptocurrency exchange MEXC Global to be cut off from the U.S. financial system, alleging the platform facilitated at least $16 billion in illicit transactions. The Financial Crimes Enforcement Network (FinCEN) issued the directive, prohibiting U.S. financial institutions from processing fund transfers involving MEXC Global. This action follows findings that MEXC processed transactions linked to sanctions evasion, cybercrime, and other illicit activities involving sanctioned entities in Iran, North Korea, and Russia between May 2021 and May 2026. FinCEN cited severe deficiencies in MEXC’s anti-money-laundering controls, including recent transactions with sanctioned Russian exchanges as of June 2026. The measure, part of Operation Economic Outcast, does not require a global shutdown of MEXC or seizure of customer deposits but specifically targets the exchange’s access to U.S. financial intermediaries. The order takes effect 30 days after publication in the Federal Register and is expected to heighten regulatory scrutiny and compliance demands across the crypto industry.
