Overview
The US Department of the Treasury has cut MEXC Global, a Seychelles-based crypto exchange, off from the US financial system. The action came through a FinCEN order dated November 6, 2026, issued under Section 9714. US financial institutions face secondary sanctions or enforcement exposure for transfers to or from the exchange.
Treasury's Allegations
FinCEN blamed deficiencies in MEXC's anti-money laundering and customer identification and verification policies. Treasury said the exchange served as a hub for:
- Iranian, North Korean and Russian sanctions evasion
- Ransomware and scam payments
- Darknet market activity
As recently as June 2026, MEXC was still processing transactions with the sanctioned Russian entities Garantex and Grinex.
Figures Cited
| Metric | Amount |
|---|---|
| Illicit transactions linked to cybercrime and sanctions evasion (May 2021 – May 2026) | At least $16 billion |
| Direct transactions with more than 40 Iranian crypto-asset exchangers | About $1 billion |
| Transactions tied to the Russia-based, OFAC-sanctioned A7 network | At least $226 million |
MEXC's Response
MEXC has more than 40 million users in over 170 countries. It says it is operating normally, user assets are secure, and it has started an independent review of its AML and sanctions controls.
What It Means for Defenders
- Compliance teams: screen for MEXC-linked wallets and counterparties, and review exposure through intermediaries.
- Incident responders: ransomware and fraud proceeds traced to MEXC addresses may now be more actionable for law enforcement.
- Finance teams: expect payment-processor and bank de-risking affecting transfers involving the exchange.