MEXC CEO Vugar Usi said the exchange’s deposit, withdrawal and trading functions were operating normally ahead of a Dec. 10 ban on transfers between covered U.S. financial institutions and MEXC Global.
The Financial Crimes Enforcement Network (FinCEN) issued the order Nov. 6. Beginning Dec. 10, covered institutions will be barred from sending funds to or receiving them from MEXC Global. The order has no scheduled end date.
FinCEN assessed that MEXC Global was involved in at least $16.7 billion in likely illicit activity since May 2021. The agency linked the activity to sanctions evasion and cybercrime.
FinCEN said the restriction is intended to protect the U.S. financial system by cutting MEXC Global’s access through covered institutions. It concluded that narrower measures would be insufficient and said institutions’ existing compliance tools should limit the added burden.
MEXC said it had begun an independent review of its anti-money-laundering and sanctions controls and would provide further updates.
Usi credited U.S. law firms with helping MEXC establish contact with FinCEN. According to Usi, the agency acknowledged receipt of MEXC’s written request on Nov. 9; he said the exchange was ready to cooperate.
The restriction on covered U.S. financial institutions begins Dec. 10.
