Binance Restricts Transfers Linked to MEXC After FinCEN Order

Binance told customers not to send or receive funds through its platform, directly or indirectly, involving MEXC and 12 other named entities or categories. Deposits flagged as originating from those parties may lead to account restrictions; Binance said it could impose further limits or terminate access under its terms of use. The company has not given a timetable for completing reviews or releasing held deposits.

The notice names MEXC Global Limited, MEXC Estonia OÜ, GIDA Technology AG, MXC Global Ltd, MEXC Global Foundation Ltd, MEXC Singapore Pte Ltd and MEXC (Comoros) Ltd, among others.

The restrictions follow a November 6 order from the US Treasury’s Financial Crimes Enforcement Network (FinCEN), which accused MEXC of facilitating transactions tied to sanctions evasion, cybercrime and other illegal financial activity. FinCEN said at least $16 billion in such transactions passed through the exchange, involving Russia, Iran and North Korea. It also alleged that around $1 billion in direct transfers involved more than 40 Iranian cryptocurrency exchanges, some already under sanctions. A further $22 million allegedly involved Iran’s central bank and the Islamic Revolutionary Guard Corps, including its Qods Force.

FinCEN said MEXC had inadequate anti-money laundering controls despite public claims that it restricted customers from sanctioned jurisdictions. The agency issued its order under Section 9714 of the Combating Russian Money Laundering Act. It will prohibit covered US financial institutions from transmitting funds to or from MEXC 30 days after publication in the Federal Register. Binance did not give a separate start date for its own restrictions.

OKX chief executive Star Xu had also warned customers against transferring cryptocurrency directly from MEXC, saying deposits linked to affected platforms could be frozen and trigger further investigations. MEXC disputed FinCEN’s allegations on November 7, saying its services remained operational and customer assets were secure. The exchange said it was reviewing the findings with legal and compliance teams and had begun an independent examination of its anti-money laundering and sanctions controls. Chief executive Vugar Usi later acknowledged higher withdrawal volumes but said deposits and withdrawals continued normally.

MEXC’s recent compliance changes include plans announced in October to discontinue services for customers in Russia and Belarus. In May, it restricted selected futures pairs for customers in Russia, Ukraine, Armenia and Belarus. In July, it appointed Robert MacDonald as chief compliance officer and announced a collaboration with LSEG Risk Intelligence to use World-Check screening tools. The October announcement did not cite a specific regulatory order as the reason for ending services in Russia and Belarus.