MEXC is catching heat again as users report lost funds and premarket trade issues. Analyst Gautamgg posted on X about two big problems in the last 20 days that break the exchange’s own rules. Traders say support gives confusing answers and settlements drag on or fail.
One case had a buyer picking up RateX at $0.4 while the listing hit $1.3. The seller didn’t settle, but MEXC kept the collateral instead of handing it to the buyer, going against their Rule 10 on refunds for defaults. Another trade got canceled, and USDT sat stuck for over 10 days with no clear word from support.
Past Drama Lingers
This echoes late October when trader The WhiteWhale accused MEXC of freezing over $3 million without good reason, tied to profitable trades. ZachXBT looked into similar complaints, sparking big backlash.
CSO Cecilia Hsueh apologized publicly October 31, admitting communication mess-ups, and funds got released. Withdrawals spiked amid solvency whispers, but MEXC denied issues and pointed to over 100% reserves.
MEXC posted fresh Proof of Reserves November 3 showing full backing for USDT, USDC, Bitcoin, and Ethereum. They use Merkle Tree checks with mirrors on CoinMarketCap, CoinGecko, and DefiLlama.
From April to June they blocked over 70,000 fraud tries linked to 8,500 groups, cutting fraud by 12%.Crypto scams are exploding anyway.
TRM Labs says AI scams jumped 456% from May 2024 to April 2025, with $2.47 billion lost first half of the year. One guy recently dropped $50 million USDT on a copy-paste wallet trick.
MEXC says reserves are solid and they’re fighting fraud hard, but trust takes hits with these reports. Traders have to stay alert, keep an eye on the rules, and be ready for sudden account closures in such a fast changing market.
