A cryptocurrency exchange, MEXC, is reportedly implementing restrictions for mainland China users who have not completed Know Your Customer (KYC) verification, according to Chinese blockchain journalist Colin Wu.
The motive behind this move is yet unknown, so users are forced to close open orders and withdraw funds to other exchanges. MEXC has not issued any official statement regarding the issue.
This comes after a warning from the Hong Kong Securities and Futures Commission about scammers impersonating MEXC operations in the region.
The alleged scam was intended to lure victims into fake investment advice groups, after which they were directed to websites saying “operated by MEXC.”
Notably, MEXC is one of the few exchanges that have not implemented mandatory KYC, while the rest of the market is undergoing a global crackdown on unregulated cryptocurrency trading.
Also Read: Underground Crypto Market Thrives in China Despite Ban
