MEXC crypto exchange linked to money laundering

[KawasakiNinja1_]

At present we only hear news of crypto currency exchanges being hacked and large amounts of Bitcoin Ethereum or other currencies being stolen from there but MEXC Global platform involved in money laundering. The bottom line is that Operation Economic Outcast shut down these platforms' access to the US financial system and found that they facilitated $16 billion in illegal financing.

We all know it is one of the top 20 CVC exchanges in the world and offers trading in over 50 currencies but if I'm not mistaken MEX has helped Iran, North Korea and Russia avoid sanctions. Another thing I noticed is that MEFC has already suspended USDT withdrawals from BNB smart Chain, Tron, Solana, Polygon and other networks, Although deposit and withdrawal services for other tokens are still available so it is better for our members of this Naija local board to withdraw their cryptoassets from this exchange.

https://finance.yahoo.com/markets/crypto/articles/u-treasury-cuts-off-mexc-220900890.html

[Doan9269]

I don't like this exchange right from the start because they are too strict with their KYC. Not only that, their terms and conditions are too harsh on users. I have seen more than two people who use the exchange complain about account restrictions due to suspicious activity related to money laundering or requests for proof of the source of their funds. All of these are telling us to be more careful and take enough caution when using a centralized platform for our asset holdings in cryptocurrency. Anything can happen, and they may use that against us by denying us access to our coins on their platform.

[Hypnotizer]

I read about their ban from the US financial system earlier on the Exchanges board and it’s pretty surprising to see a centralized exchange of their scale being involved in such activities. Though it’s seems they’re trying to make it look like they aren’t aware by launching an emergency internal investigations.

And you’re right, for anyone still keeping their funds on the exchange it’s better to move to from there immediately.

[MainIbem]

I read about their ban from the US financial system earlier on the Exchanges board and it’s pretty surprising to see a centralized exchange of their scale being involved in such activities. Though it’s seems they’re trying to make it look like they aren’t aware by launching an emergency internal investigations.

And you’re right, for anyone still keeping their funds on the exchange it’s better to move to from there immediately.

Their only crime is allowing countries that are not allies with the US transact with their platform especially North Korea and Iran. It might look unfair to ban them from the US market but with the recent hack relating with North Korea, they shouldn't have allowed transactions from that country. I heard they previously blocked transactions from Russia due to sanctions now they'll also lose a large amount of customers in US too. It good that this information was shared here so people trading with the platform would be aware, I believe that after the hacks on exchanges no one from our board would store a valueable asset like Bitcoin with them.

[Roseline492]

I don't like this exchange right from the start because they are too strict with their KYC. Not only that, their terms and conditions are too harsh on users. I have seen more than two people who use the exchange complain about account restrictions due to suspicious activity related to money laundering or requests for proof of the source of their funds. All of these are telling us to be more careful and take enough caution when using a centralized platform for our asset holdings in cryptocurrency. Anything can happen, and they may use that against us by denying us access to our coins on their platform.

Although I don't dislike MEXC on there kyc because I understand is something most of those big exchanges has a very strick rules on, so actually is not only MEXC that also made it compulsory but although just like you the exchange has never been a preferred option for me after I witnessed how a friend lost his money on the exchange. However this news is not going to affect people from this region who has money on the exchange because is only the United States they have problem with but in terms users it will affect MEXC globally because there reputation is already question and people will definitely loss trust.

[gracreavix]

I will be careful with whatever the USA say someone did or an entity did or didn't do. When something doesn't align with their agenda, they usually call it fraud or something with a terrible name. MEXC helped countries bypass sanctions and they labelled them an enemy of the state. I am not dismissing any fact that might say MEXC did something wrong. I am just saying is that it is not everything you see on the news you believe. Moreover if transactions can't be linked to real life, how else do they know that it is fraud. Seems they are tracking everyone's transactions if you ask me. I maybe lashing out cause of what i have watched and heard about USA and it's everyday false news. But i still want to be open minded that there might be some truth in this.

[Freeveto]

I read about their ban from the US financial system earlier on the Exchanges board and it’s pretty surprising to see a centralized exchange of their scale being involved in such activities. Though it’s seems they’re trying to make it look like they aren’t aware by launching an emergency internal investigations.

And you’re right, for anyone still keeping their funds on the exchange it’s better to move to from there immediately.

This exchange has been involved in price manipulation for long, if you are into trading, you will know how they used to manipulate price especially for newly lunched tokens, they make money from there.
One of the reason they have people well is because they offer their service partially without KYC that is why crypto users who wants to trade or send and receive crypto to some certain amount do use them because of KYC, they have been here for long but don’t have the reputation as other centralized exchanges.

I didn’t usually trust them when the need come because sometimes they lost some meme coins.
This was an another reason to say goodbye to leaving our money in centralized exchanges, they cannot be trusted.

[OsaiEmma]

Before we jump into conclusions hastily, let's read closely what they're being accused of.

Treasury Secretary Scott Bessent said financial institutions cannot both support the Iranian regime and keep access to the U.S. financial system, adding that Treasury will keep working to "sever the Iranian regime's economic lifelines" and stop attempts to evade sanctions using digital assets.

The action is part of Operation Economic Outcast, a Treasury campaign launched in August to cut off financial entities that help Iran evade U.S. sanctions.

This is coming from the link provided by OP. They didn't involve themselves in illegal money in the sense that it was a stolen money, or conventional criminal activities. They processed payments from regions banned by the US.

Of course, processing transactions from sanctioned entities can itself be seen as an illegal activity under applicable sanctions laws. But it's not the same as saying that all the funds involved were stolen or gotten from criminal activities.

This is basically a geopolitical tossel between the US and other countries. The US is using its influence over access to its financial system to enforce their foreign policies on MEXC. Although, if MEXC wants to operate within the US jurisdiction, they should of course keep to their regulations and policies. But they're not like directly involved with the type of money laundry we're thinking of.