# OKX Restricts MEXC Transfers Following US Treasury Financial Sanctions Order OKX proactively blocks MEXC-linked deposits after FinCEN alleges the exchange facilitated illicit financial activities. - **Source:** [CryptoCurrency – Finance Magnates | Financial and business news](https://brifing.si/source/b5a2ce51-ec8e-4702-886b-778de5971605) - **Published:** 2026-11-09 - **Topic:** [Finance](https://brifing.si/c/finance) - **Original article:** - **On Brifing:** https://brifing.si/s/fb11a3df-924e-4325-8fe1-67dee0d8f011 ## FinCEN Targets MEXC Exchange The US Treasury's FinCEN issued an order cutting MEXC off from the American financial system. Regulators allege the exchange processed over $16.7 billion in illicit funds between May 2021 and May 2026. The action specifically cites exposure to sanctioned entities in Russia, Iran, and North Korea, labeling the platform a hub. ## OKX Implements Preemptive Restrictions OKX founder Star Xu instructed customers to stop direct transfers from MEXC immediately. Although the US ban includes a 30-day transition window, OKX has tightened controls ahead of that deadline. Xu stated that OKX treats these FinCEN special measures with a level of caution similar to formal international financial sanctions. ## User Funds Face Freezing Social media reports indicate that deposits originating from MEXC are being flagged as high-risk. OKX warned that funds linked to the platform may be frozen and associated accounts could face investigations. Users have expressed frustration, claiming they are ordinary traders caught in the crossfire of these new compliance-driven security measures. ## Scope of Illicit Allegations FinCEN identified nearly $1.5 billion in exposure to Russian sanctions evasion, including $232 million in direct transactions with sanctioned entities. The order highlights $129 million in transactions with Garantex and $4.1 million with Grinex. Additionally, the agency cited over $1.87 billion in exposure to Iran and significant usage of ruble-backed tokens. ## MEXC Operational Response CEO Vugar Usi maintains that trading, deposits, and withdrawals are operating normally. The exchange has begun an independent review of its anti-money laundering and sanctions controls. MEXC is currently collaborating with analytics firms like Elliptic to have its addresses removed from the high-risk category and restored to standard exchange status. ## Market Impact and Outflows Following the announcement, MEXC recorded $126.03 million in net outflows within 24 hours. The exchange held approximately $4.35 billion in tracked assets, meaning the outflow represented roughly 2.9% of its holdings. Despite this, MEXC remains a top 20 exchange, handling over $1 billion in daily transactions as of June. ## Broader Regulatory Retreat The US order compounds existing regulatory pressures on MEXC. The exchange is already winding down services for Dutch and French customers due to licensing issues. FinCEN’s order also notes that MEXC operated without proper licenses in Seychelles, Hong Kong, and Japan, further complicating the firm's global legal standing and compliance. ## Future Compliance Implications The ban applies to all US financial institutions, including securities broker-dealers and futures commission merchants. MEXC’s RealStocks service, which reported over 120,000 accounts in August, relies on such entities. While the order sets no end date, FinCEN retains the authority to grant exemptions if the exchange demonstrates sufficient remedial compliance actions. ## Sources covering this story - [CryptoCurrency – Finance Magnates | Financial and business news — OKX Restricts MEXC Transfers Following US Financial Sanctions Order](https://www.financemagnates.com/cryptocurrency/exchange/okx-warns-users-off-mexc-transfers-as-us-moves-to-cut-off-the-exchange/) - [Bitcoin News — OKX Freezes MEXC Deposits Following FinCEN Blacklist Order](https://news.bitcoin.com/exchanges/okx-freezes-mexc-user-deposits-following-strict-fincen-order/) --- _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._