FinCEN Moves to Cut MEXC Global Off From US Banks Over Alleged $16B Illicit Flows

TL;DR: The US Treasury’s Financial Crimes Enforcement Network says MEXC Global facilitated at least $16 billion in transactions linked to illicit activity and has issued a special measure prohibiting US financial institutions from processing transfers involving the exchange. The finding is a regulator’s allegation, not a judgment against every MEXC user. The sharpest crypto enforcement story of the weekend came not from a trading chart but from the US Treasury. On November 6, FinCEN announced an order designed to cut exchange MEXC Global off from the US financial system. The agency said its investigation identified at least $16 billion of illicit transactions linked to sanctions evasion and cybercrime, including activity involving Iranian, North Korean and Russian actors. The agency’s official announcement is unusually consequential because it is aimed at the banking connections surrounding a crypto trading venue. That differs from imposing a fine and asking a business to improve compliance while continuing to operate normally. What the special measure actually does FinCEN says the order prevents US financial institutions from processing funds transfers involving MEXC Global. In pr...