● Covered by 1 source · 1 reportMedium impact1 negative
US Treasury Bans MEXC Crypto Exchange Over Sanctions Evasion and Cybercrime Links
Key points
- US Treasury bans MEXC Global from US financial system.
- MEXC facilitated $16 billion in illicit transactions.
- Links to Iranian, North Korean, Russian sanctions evasion.
- FinCEN cited AML and KYC policy deficiencies.
US Treasury Imposes Ban on MEXC Global
The US Department of the Treasury has prohibited the MEXC Global crypto exchange from operating within the US financial system. This action was taken due to the exchange's alleged role in sanctions evasion and its connections to cybercrime organizations. The ban means US financial institutions and individuals face potential secondary sanctions for transactions with MEXC Global.
Allegations of Illicit Transactions
According to an order from the Financial Crimes Enforcement Network (FinCEN), MEXC facilitated illicit transactions totaling at least $16 billion between May 2021 and May 2026. These transactions are linked to cybercrime activities and evasion of sanctions against Iran, North Korea, and Russia. The Treasury Department noted that MEXC continued processing transactions with sanctioned Russian entities Garantex and Grinex as recently as June 2026, and facilitated over $226 million in transactions connected to the A7 sanctions evasion network.
Scope of Illicit Activity
The Treasury Department stated that MEXC Global served as a hub for various illicit financial activities, including Iranian and DPRK sanctions evasion, ransomware and scam payments, and darknet market operations. Between May 2021 and May 2026, MEXC reportedly sent or received approximately $1 billion in direct transactions with over 40 identified Iranian CVC exchangers, some of which are under US and international sanctions.
AML and KYC Deficiencies Cited
FinCEN attributed these issues to significant shortcomings in MEXC Global's anti-money laundering (AML) and customer identification and verification (KYC) policies. These deficiencies allowed the exchange to be exploited for illicit financial flows.
MEXC's Response
In response to FinCEN's order, MEXC Global stated that its legal and compliance teams are reviewing the order and its sanctions and AML controls. The exchange affirmed that it is operating normally and user assets remain secure, expressing an intent to engage constructively with FinCEN and other regulators.
✨ This summary was generated by AI from the outlets' reporting listed below. It is not independently verified and may contain errors — check the original sources. How BrevFeed works →
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Reporting from
The US Department of the Treasury has banned MEXC Global, a Seychelles-based crypto exchange, from the US financial system due to its alleged involvement in sanctions evasion and facilitation of cybercrime. FinCEN reported that MEXC processed at least $16 billion in illicit transactions linked to sanctioned entities and cybercrime operations between May 2021 and May 2026, leading to deficiencies in its anti-money laundering policies.