Binance has stopped processing any transfers related to the MEXC crypto exchange. The ban has been in effect since November 10 and covers MEXC itself and 12 of its legal entities. A day earlier, such operations were merely being slowed down.
The reason is a FinCEN order that tied $16 billion in suspicious transactions to MEXC. FinCEN is the financial intelligence unit of the US Treasury.
The two exchanges share many common clients, and moving coins between them was routine. Now this route is closed.
What exactly is blocked?
Transfers in both directions. Withdrawals from Binance to MEXC addresses are rejected. Incoming transfers from MEXC are held for compliance checks.
- 13 structures - that's how many legal entities of the group fell under the restriction.
- MEXC Global Limited, MEXC Estonia OÜ and MEXC Singapore Pte Ltd - are among them.
- Account closure - Binance threatened this to those who continue moving funds between the platforms.
Why did FinCEN go after MEXC?
On Friday FinCEN identified MEXC as a primary money laundering threat.
- $16 billion. At least this amount in suspicious transactions passed through the exchange from May 2021 to May 2026, according to the agency.
- $1.5 billion. Around this amount is directly and indirectly linked to circumvention of sanctions against Russia.
- Client verification. Its system at the exchange was called "extremely weak."
What does this mean for a trader?
The main thing: the MEXC - Binance link as a route for shifting funds and arbitrage is closed, and you can no longer withdraw assets from MEXC through the largest exchange.
- $812.5 million - MEXC's daily volume, ninth place among spot exchanges.
- $6.4 billion - Binance's daily volume and first place.
A crypto alternative is trading on a prop firm's capital: conditions are convenient to compare in the prop firm catalog, and a program can be selected via the challenge calculator.
What's next?
Timing. The order itself takes effect 30 days after publication in the Federal Register. The Federal Register is the official US gazette.
After this date American banks and financial organizations are prohibited from conducting any transfers involving MEXC.
- Exchanges acted ahead of schedule - restrictions were introduced even before the order took effect.
- OKX - also warned users not to send funds to MEXC.
Do you keep crypto on several exchanges?
Today half the crypto market was checking whether transfers between platforms got stuck. For trading your own account, this is a normal part of the deal. In prop trading, the company provides the nominal, but other lines matter: which coins are available, what leverage, whether you can hold a position over the weekend, and how the daily loss is calculated. Each program has its own set, and it doesn't always match how you trade crypto. A filter by instruments and rules shows the discrepancies right away.