Binance Halts MEXC Ties After US Treasury Alleges $16B in Suspicious Flows

Transfers between Binance and MEXC have been blocked after the US Treasury accused MEXC of handling at least $16 billion in illicit money. The Treasury has not disclosed how it arrived at that figure.

Binance accounts linked to MEXC could face restrictions while a review is underway. MEXC says it continues to operate normally and that user assets remain safe.

Why a Non-US Exchange Is Complying With a US Directive

On November 6, FinCEN — the Treasury's anti-money laundering arm — designated MEXC a “primary money laundering concern.” The ruling prevents US financial institutions from processing payments to or from MEXC.

Although the order only applies to US entities, FinCEN noted that MEXC may access US dollars through foreign intermediaries.

Binance chose to act regardless, stating it will block transfers to MEXC and examine other connected activity.

Binance is applying enhanced compliance measures following FinCEN’s designation of MEXC as a Primary Money Laundering Concern.

Effective immediately, users should not send funds to, receive funds from, or otherwise transact through Binance involving MEXC, MEXC Global, MEXC…

— Binance (@binance) November 10, 2026

Binance pleaded guilty to US criminal charges in 2023, including violations related to Iran sanctions, and paid roughly $4.3 billion.

What the Treasury Alleges MEXC Did

Since May 2021, the Treasury linked nearly $1.5 billion to Russian sanctions evasion and about $1 billion to Iranian exchanges, as reported in the US ban on MEXC.

Treasury said MEXC also transacted with Garantex, a sanctioned Russian exchange, and its successor Grinex as recently as June. FinCEN first applied this authority in 2023 against Bitzlato, another Russia-linked platform.

Why Investigators Want to See the Numbers

ZachXBT, a crypto-tracing investigator, acknowledged that MEXC's customer vetting has been weak for years. However, he questions the scale of the allegation.

Treasury's announcement references at least $16 billion. The official order states $16.7 billion, citing blockchain analysis and non-public data, without providing a supporting breakdown.

“But the $16B illicit amount being alleged by FinCEN seems overstated to me so I’d like to see the data and comps,” the investigator noted.

He added that he could flag hundreds of millions to billions in illicit transactions at any major exchange. Treasury said MEXC processed over $1 billion daily as of September.

He pointed to KuCoin as a more serious offender that has not been sanctioned. KuCoin pleaded guilty to a US charge in January 2025 and agreed to pay over $297 million. In August, Reuters reported that Binance received $676 million from Shelbit, an Iran-linked Dubai exchange.

The ban takes effect 30 days after the order is published in the Federal Register. Treasury has not indicated whether it will release the data ZachXBT requested.