High-Net-Worth Trader Accuses MEXC of Demanding In-Person Meeting to Unfreeze $3.1M

A high-net-worth crypto trader known as “White Whale” has alleged that MEXC, a major cryptocurrency exchange, demanded an in-person meeting in Malaysia to unfreeze $3.1 million in assets, bypassing standard digital verification processes [1]. The trader claims the requirement is unusual and excessive, particularly since they had already completed online KYC (Know Your Customer) procedures. MEXC has not yet provided a detailed public response to the allegations [2].

According to the reports, the exchange reportedly suggested the meeting as a solution to the dispute, which the trader rejected, citing safety concerns and the sufficiency of their completed online verifications [2]. The trader argues that the request for a physical meeting places an unnecessary burden on them and may serve as a tactic to escalate the situation beyond standard dispute resolution methods.

The incident has sparked broader concerns among crypto traders and legal observers regarding the operational transparency and dispute resolution policies of major exchanges. Critics argue that such demands for in-person visits could disproportionately affect high-profile users and potentially expose them to unnecessary risk. Additionally, the lack of clear policy guidance or alternative dispute resolution pathways has been highlighted as a potential weakness in the sector’s infrastructure [3].

The allegations against MEXC come amid growing scrutiny of digital asset platforms, particularly their handling of frozen assets, user privacy, and adherence to standard verification protocols. As the case unfolds, it may prompt further calls for more robust regulatory oversight and clearer operational guidelines for cryptocurrency exchanges.

Source:

[1] https://www.ainvest.com/news/high-net-worth-trader-accuses-mexc-demanding-person-visit-unfreeze-3-1m-2508/

[2] https://www.ainvest.com/news/trader-alleges-mexc-frozen-3-1m-suggested-malaysia-meeting-release-2508/

[3] https://www.coinlive.com/en/news-flash/878530