The MEXC exchange faced a backlash, with traders reporting frozen assets and account freezes and questioning the exchange's terms of service.

Seychelles-based cryptocurrency exchange MEXC has come under scrutiny after traders repeatedly alleged asset freezes and account freezes. The accusations, which have intensified since December 16, suggest that the way the exchange enforces its terms of service has sparked controversy among users.

Sudden account limits raise concerns

Traders are using the X platform to express their concerns and report sudden limits on their accounts after profitable trades. One notable case is that of Vida, an anonymous trader who claimed to have lost $92,000 in Tether (USDT) after successfully trading on MEXC’s futures market. After contacting MEXC’s support team, the trader’s account and order history were allegedly wiped.

MEXC cites 'unusual trading activity'

MEXC’s support team acknowledged that their risk control system flagged Vida’s account, so staff conducted a thorough investigation. The exchange cited "unusual trading activity" on the account and associated accounts, citing its terms of service to recover the alleged losses. This stance is consistent with similar reports from traders facing account issues.

One user who has been facing problems since September revealed that their account was frozen after an $8,000 transaction. Anecdotal evidence suggests that close to 10% of the trading community around this person has experienced similar issues to MEXC. A pattern of account restrictions and fund seizures has fueled growing dissatisfaction among MEXC users.

MEXC’s terms of service attract much attention

Founded in 2018, MEXC outlines in its terms of service the power to unilaterally determine protocol violations and take action without user consent. These actions may include freezing accounts, blocking orders, and reporting incidents to authorities. However, a recent surge in complaints has raised questions about the transparency and fairness of these practices.

The controversy surrounding MEXC’s handling of trader accounts highlights the complexities and challenges of cryptocurrency exchanges. As traders continue to voice their displeasure, the crypto community is watching closely, seeking clarity and fairness in trading practices. MEXC’s response to these allegations remains critical to maintaining its reputation and user trust. #MEXC #资产冻结