Key Highlights
- MEXC users report frozen accounts and withheld funds, raising trust concerns across the crypto community.
- Support responses remain slow and confusing, making traders question MEXC’s rules and platform oversight.
- Despite criticism, MEXC claims full asset backing and a $100M Guardian Fund to protect user holdings.
Criticism of the cryptocurrency exchange MEXC is growing as multiple users have reported frozen accounts and withheld funds. Trader Mike revealed that MEXC locked his account holding approximately $300,000, demanding 40% to release it.
In an X post, Mike said he followed all the verification procedures, but the support lead allegedly asked for a cut of the money through his registered phone number. This has raised concerns about MEXC’s management of user funds. Apart from Mike, other users have reported long-held frozen funds, some of which are close to a year old, raising concerns about trust on the platform.
The latest incident was supported by an X user who goes by the name Unstoppable. The user posted an incident where about a $400,000 account was frozen despite full compliance. Users claim that MEXC first tried to contain the damage with public representatives but eventually could not keep up with communication.
MEXC Customer Support replied on X, stating that official staff members never ask for funds outside the platform. They said, “The person you are speaking to is not an official MEXC staff member; please do not trust them and block the account immediately.”
History of complaints
This isn’t the first time that MEXC has faced problems. Last December, users reported missing funds and issues with premarket trades. Analyst Gautamgg pointed out two cases: one where a RateX token trade didn’t settle, and another where a trade was canceled, but the USDT funds weren’t returned for 10 days. Many users say support gave confusing answers and slow responses. Because of this, traders are starting to question MEXC’s trading rules and how well it manages the platform.
Even with all the criticism, MEXC insists its finances are solid. Last November, the exchange assured users that every fund is fully backed. Their Proof of Reserves shows major assets exceed 100%, and their $100 million Guardian Fund continues protecting user holdings, with wallet addresses anyone can check. Platforms like CoinMarketCap, CoinGecko, and DefiLlama let users verify these assets. Even with record withdrawals, MEXC says operations are running normally.
Community response
The crypto community is being cautious. Users are advising people to make deposits in small amounts and to withdraw funds into personal accounts. People warn others not to interact with the exchange through WhatsApp or other means, as it could be a scam. CRYPTO SOLO SCROOGE stated, “I certainly do not trust that exchange.”
In light of this, MEXC keeps freezing user funds and giving confusing support, which makes people wary. Traders should stay careful, double-check their assets, and never share sensitive info outside official channels.
MEXC denies the allegations
In a statement shared with The Crypto Times, MEXC issued clarification stating, “We are actively attempting to contact the user mentioned in these reports to investigate the claims. However, to date, no verifiable UID or concrete evidence has been provided by the individual to support these allegations. MEXC strictly adheres to rigorous and transparent risk control protocols. We categorically deny any claims of demanding fees or percentages to unfreeze accounts. Such actions are a direct violation of our compliance standards and we NEVER request any form of payment for account restoration.”
The exchange also shared that it has observed a recent surge in such content online, alleging, “We do not rule out the possibility of a coordinated FUD campaign targeted at MEXC. We are conducting a thorough investigation into these malicious activities and will take all necessary legal measures to protect our brand reputation.”
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