# MEXC Intercepts $38.6M in Risky Funds, Futures Insurance Hits $792M Crypto exchange reports 2,971% surge in intercepted fraud cases amid rising AI-powered attacks. - **Source:** [NewsBTC](https://brifing.si/source/1757e8d5-352f-4479-994f-79c6e6161b17) - **Published:** 2026-09-16 - **Topic:** [Finance](https://brifing.si/c/finance) - **Original article:** - **On Brifing:** https://brifing.si/s/ec4ad739-1b9e-46be-9fb9-e825e27e2420 ## Massive fraud interception spike MEXC intercepted 215 cases of risk-related funds totaling 38.66 million USDT in July-August 2026, marking a 12,646% value increase from the previous period. The exchange assisted with 42 judicial freezes and shared suspicious addresses with industry partners through established investigation protocols. This represents a 2,971% surge in successfully intercepted cases compared to prior reporting. ## AI-powered attack surge The crypto industry saw 184 security incidents totaling $535 million in losses during the reporting period. Nearly half involved phishing/fraud or supply-chain attacks, with attackers increasingly using AI to generate phishing content and malware. This technological escalation makes cross-platform cooperation and rapid fund interception critical for loss prevention. ## Account restrictions surge MEXC identified and restricted 20,752 risk-related accounts, a 118% increase, with risk groups concentrated in CIS countries (1,803), Nigeria (1,099), and Indonesia (976). The platform returned 602,225 USDT in misdirected assets through 818 manual processing cases, reflecting a 75% increase in recovery volume from the previous period. ## Futures insurance buffer grows MEXC's Futures Insurance Fund reached 791.7 million USDT, up 5.44%, providing protection against negative balances during liquidations. The fund acts as a buffer during extreme market conditions, reducing auto-deleveraging risks. When liquidations occur above bankruptcy prices, surplus funds contribute to the insurance pool. ## Reserve ratios remain robust MEXC maintained reserve ratios above 100% for all major assets: BTC (288%), ETH (113%), USDT (115%), and USDC (114%). The exchange disclosed corresponding on-chain addresses for Merkle Tree verification. The Guardian Fund's dual-reserve structure (USDT for liquidity, BTC for long-term reserves) will expand from $100M to $500M. ## Cross-platform collaboration MEXC strengthened its joint-investigation framework with industry participants and law enforcement, sharing suspicious address data and supporting verification procedures. This cooperative approach enhances the tracking of fund flows across platforms, particularly important as attack methods diversify. ## Regional risk concentrations Analysis of 5,288 identified risk groups showed geographic concentrations in CIS countries (34% of groups), Nigeria (21%), and Indonesia (18%). This data informs targeted security measures and regional cooperation strategies to combat organized fraud operations. ## Verifiable trust architecture MEXC's security model combines real-time interception capabilities with transparent verification mechanisms like Merkle Tree proofs and disclosed reserve addresses. CEO Vugar Usi emphasized that verifiable protection measures, not just promises, build trust in crypto markets amid evolving threats. ## Sources covering this story - https://www.newsbtc.com/news/mexc-releases-july-august-security-report-over-38-million-usdt-in-risk-related-funds-intercepted-futures-insurance-fund-reaches-792-million-usdt/ — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._