FinCEN orders US institutions to stop handling transfers for MEXC Global
FinCEN says MEXC Global facilitated at least $16 billion in illicit transactions and has barred US financial institutions from processing its fund transfers.
The US Treasury's Financial Crimes Enforcement Network (FinCEN) has issued an order barring US financial institutions from processing funds transfers to or from the crypto exchange MEXC Global. According to Reuters, as relayed by BWEnews and Unfolded, the Treasury said the order cuts MEXC Global off from the US financial system over transactions linked to sanctions evasion by Iran, North Korea and Russia.
Cointelegraph reported that FinCEN issued the order on Friday. The Cryptonomist dated the action November 6, 2026, and described it as sanctions. The other outlets describe it as a FinCEN order, and the sources do not otherwise detail the legal mechanism.
What FinCEN alleges
According to Wu Blockchain, FinCEN said MEXC facilitated at least $16 billion in transactions tied to sanctions evasion, cybercrime and other illicit activity between May 2021 and May 2026. That total includes nearly $1.5 billion linked to Russian sanctions evasion and about $1 billion in direct transactions with Iranian crypto exchanges.
The Cryptonomist noted that the $16 billion figure is FinCEN's allegation about the volume of illicit activity, not an established finding. It added that the agency also cited transactions involving other sanctioned actors, extending the allegations beyond the three countries named. Wu Blockchain said FinCEN pointed to severe deficiencies in MEXC's anti-money laundering controls.
Why it matters and what is next
The measure targets MEXC Global's access to US financial institutions, which are prohibited from handling transfers involving the exchange. It is a direct restriction on the platform's ability to move money through the US banking system, rather than a general warning about the sector.
Wu Blockchain reported that the order takes effect 30 days after publication in the Federal Register. The sources do not say when that publication will occur. None of the reports included a response from MEXC, so the exchange's position on the allegations remains unreported in these sources.
Sources
- US Treasury Says Fincen Order Cuts Off Mexc Global from US Financial System Over Transactions Linked to Sanctions Evasion by Iran, North Korea, Russia: Rtrs BWEnews
- US Treasury Says Fincen Order Cuts Off Mexc Global from US Financial System Over Transactions Linked to Sanctions Evasion by Iran, North Korea, Russia: Rtrs Unfolded
- US Treasury Moves to Cut MEXC Global Off From US Financial System Over $16B in Illicit Transactions Wu Blockchain
- US Treasury sanctions MEXC crypto exchange over alleged $16B in illicit transactions The Cryptonomist
- US Treasury cuts off MEXC over alleged $16B in illicit transactions Cointelegraph
Written with AI assistance from the sources above and checked against them. Not investment advice.