Binance Halts Transfers to MEXC Entities

On November 10, Binance stopped processing transfers involving MEXC Global and its affiliates, four days after the US Treasury’s Financial Crimes Enforcement Network moved to cut the exchange off from the American financial system. In a compliance notice published on its support portal, Binance told customers not to send or receive funds directly or indirectly through its platform in connection with MEXC and 12 other named entities or categories linked to the exchange. Withdrawals from Binance wallets to the listed entities are now rejected, while deposits from them are temporarily withheld for compliance checks. Customers whose incoming funds are flagged may face restrictions on their accounts during the review. Binance said it may impose further limits or terminate their access to its services under its terms of use. The list covers MEXC Global Limited, MEXC Estonia OÜ, GIDA Technology AG, MXC Global Ltd, MEXC Global Foundation Ltd, MEXC Singapore Pte Ltd and MEXC (Comoros) Ltd, as well as other names and affiliates identified in the notice. Binance did not say how long reviews might take or set a separate timetable for releasing withheld deposits. FinCEN issued the underlying order on November 6, designating MEXC a primary money laundering concern under Section 9714 of the Combating Russian Money Laundering Act, a provision that allows restrictions on foreign financial institutions linked to Russian illicit finance. The Treasury’s press release says at least $16 billion passed through the exchange between May 2021 and May 2026 in transactions connected to sanctions evasion, cybercrime and other illegal activity involving Russia, Iran and North Korea. US authorities identified roughly $1 billion in direct transfers involving more than 40 Iranian cryptocurrency exchanges, some already under sanctions, and $22 million tied to Iran’s central bank and the Islamic Revolutionary Guard Corps, including its Qods Force. The same release put MEXC’s daily transaction volume above $1 billion and its reserves at approximately $5 billion as of September 2026.

Frozen Deposits and Flagged Accounts

The restrictions extend well beyond direct transfers between the two platforms. A transfer between venues is completed on-chain as soon as it is broadcast, but the receiving exchange decides whether the balance becomes usable. Binance said MEXC-linked deposits will be held for review before any funds are credited to an account. The exchange also stressed that its action is not a global shutdown of MEXC withdrawals: the restrictions apply only to transfers involving the named entities that pass through Binance. In a November 7 statement, MEXC rejected the allegations, saying its trading services remained operational and customer assets were secure. It said it was reviewing the findings with legal and compliance teams while conducting an independent examination of its anti-money laundering and sanctions controls. Chief executive Vugar Usi later acknowledged elevated withdrawal volumes but said deposits and withdrawals were continuing normally. Binance is not alone. Crypto.news reported that OKX chief executive Star Xu warned customers against transferring funds directly from MEXC, saying deposits tied to affected platforms could be frozen and users might face further investigations under enhanced checks. Pressure on MEXC had been building for months. In October, the exchange said it would discontinue services for customers in Russia and Belarus, providing affected users with individual instructions for closing positions and withdrawing assets, but announcing no common deadline. In May, it restricted selected futures trading pairs for users in Russia, Ukraine, Armenia and Belarus, preventing new positions in the affected contracts. In July, it appointed Robert MacDonald as chief compliance officer and began working with LSEG Risk Intelligence to use World-Check screening tools. The October service announcement did not name a specific regulatory order as the reason for withdrawing from the two countries. FinCEN’s measure takes effect 30 days after publication in the Federal Register, giving covered US institutions a defined period to sever their own links.

A New Counterparty Test for Exchanges

The Treasury press release is the key document: it records that MEXC handled more than $1 billion in daily transactions and held about $5 billion in reserves as of September 2026. That scale helps explain why peer exchanges are not waiting for the Federal Register clock to run. COINOTAG’s interpretation is that US designations now feed into inter-exchange transfer policies within days, regardless of where either platform is domiciled, and that on-chain finality no longer guarantees funds can be used at their destination. Users with balances across multiple venues may move toward self-custody, where an HD wallet under their own control sits outside any exchange’s review queue, while the 30-day window sets the pace at which the rest of the market aligns.

Source: en.coinotag.com. Adapted by NBTC.