U.S. Treasury Sanctions Crypto Exchange MEXC Over $16 Billion in Alleged Illicit Flows

The U.S. Department of the Treasury has moved to cut off global crypto exchange MEXC, alleging it facilitated over $16 billion in illicit financial flows, primarily linked to Russian entities.

The Treasury’s Office of Foreign Assets Control (OFAC) announced sanctions against the exchange, formally known as MEXC Group Ltd. The action is part of a broader campaign targeting financial networks that support Iran, but the specific order against MEXC cites its alleged role in Russian illicit finance.

According to the Treasury, MEXC knowingly conducted substantial transactions for entities tied to Russian illicit finance, including a major cryptocurrency exchange previously sanctioned for its role in laundering ransomware proceeds. The $16 billion figure represents the total value of transactions the Treasury alleges were processed for these sanctioned entities.

The sanctions effectively block all property and interests in property of MEXC that are in the United States or in the possession of U.S. persons. They also prohibit U.S. persons from engaging in any transactions with the exchange, a significant move given the global reach of U.S. dollar transactions.