Binance cuts off MEXC and warns users they could be offboarded, as Treasury's order against the exchange reaches the Federal Register

Binance, the biggest spot exchange by volume on CoinMarketCap, has stopped doing business with MEXC, which ranks ninth. In an announcement on Tuesday, Binance said it will no longer process transactions with platforms covered by the U.S. Treasury's designation of MEXC as a "Primary Money Laundering Concern," and listed 13 names, including MEXC Global Limited, MEXC Estonia OÜ and MEXC Singapore Pte Ltd.

Withdrawals from Binance to those entities will be declined. Deposits from them will be held while Binance reviews them, and users who keep dealing with MEXC could face further restrictions, including having their accounts closed, the exchange said.

Treasury's Financial Crimes Enforcement Network issued the order on Friday, alleging, in Treasury's account, that MEXC handled at least $16 billion in illicit funds between May 2021 and May 2026. U.S. banks and other financial institutions must stop moving money to or from MEXC 30 days after the order is published in the Federal Register, whose listing of the order is dated Tuesday, November 10.

Other exchanges are moving too. OKX founder Star Xu told customers over the weekend not to send funds straight from MEXC, warning that MEXC-linked funds may be frozen, Finance Magnates reports. MEXC says its services are running normally, that it has started an independent review of its controls and that it intends to engage with FinCEN.