Binance announced Nov. 10 it was restricting all transactions with MEXC after the Financial Crimes Enforcement Network (FinCEN) designated the exchange a primary money laundering concern. The Treasury Department disclosed the action against MEXC Global on Nov. 6 as part of Operation Economic Outcast, targeting disruption of Iranian financial networks.
FinCEN alleged MEXC facilitated at least $16 billion in illicit transactions between May 2021 and May 2026, including $1.5 billion connected to Russian sanctions evasion. Treasury linked the flows to Iranian, North Korean and Russian sanctions evasion efforts and cybercrime. Of that total, $232 million involved direct dealings with entities sanctioned by the U.S. European Union and United Kingdom.
Binance's restrictions cover MEXC, MEXC Global, GIDA Technology AG and all related affiliates. The exchange will reject outgoing transfers to listed MEXC addresses and temporarily withhold incoming funds from these entities for compliance review. Account holders involved with MEXC may face further limitations, including removal from Binance.
OKX strengthened its compliance controls ahead of the regulatory deadline. OKX Founder and CEO Star Xu said his company was treating FinCEN's special measures with the same caution applied to existing sanctions, warning that associated funds could be frozen and accounts investigated.
MEXC CEO Vugar Usi said the company initiated an independent review of its anti-money laundering and sanctions controls and intends to engage constructively with FinCEN to address the allegations.
FinCEN's prohibition takes effect 30 days after publication in the Federal Register under the Combating Russian Money Laundering Act, which authorizes Treasury to restrict transactions involving foreign financial institutions linked to Russian illicit finance.
