MEXC Launches 100% First-Liquidation Coverage to Draw In KYC-Verified Traders

MEXC, one of the world's fastest-growing cryptocurrency exchanges, has announced a new initiative to provide 100% loss coverage on first trades for KYC-verified users, capping the protection at 50 USDT. The move is part of MEXC's broader strategy to attract and protect new traders in the volatile crypto market. The platform has emphasized that completing KYC verification is now a key step for users looking to benefit from this exclusive reward.

The loss coverage applies only to the first trade that results in a full liquidation after KYC verification. Users must complete the verification process before placing their initial trade to be eligible. The reward is non-transferable and limited to one use per account, ensuring it serves as a one-time incentive for new users.

MEXC has recently released a comprehensive Proof of Reserves audit conducted by blockchain security firm Hacken, confirming that the exchange maintains sufficient on-chain assets to fully cover all user liabilities. The audit, which took place on November 26, 2025, included reserves across multiple blockchain networks and verified that MEXC holds more than 100% of the assets needed to back user balances. This transparency effort reinforces the exchange's commitment to safeguarding user funds.

A Step Toward Greater Trust and Transparency

MEXC's first-trade loss coverage initiative aligns with its broader efforts to build trust and transparency in the crypto market. The Proof of Reserves audit, which involved a detailed evaluation of the exchange's wallet addresses, balances, and asset distribution, demonstrated the firm's dedication to maintaining full asset backing. Hacken also validated the integrity of MEXC's Merkle-tree structure, ensuring that user liabilities are accurately represented.

The audit confirmed that MEXC maintains operational control over all reserve wallets and that user balances are fully backed based on the assets reviewed. These findings support MEXC's position as a secure and reliable platform for digital asset trading. The exchange's continuous PoR audits are now a core part of its operational framework, reflecting its commitment to industry best practices.

How the First Trade Coverage Works for Users

To qualify for the 100% loss coverage, users must complete the KYC verification process and place their first trade on the platform. If the first trade is fully liquidated, the user will receive compensation up to 50 USDT automatically. The reward is applied without requiring any additional steps or manual activation. However, trades closed manually or those resulting in partial losses are not eligible for coverage.

The initiative is intended to lower the risk for new users entering the crypto market. By offering this protection, MEXC aims to encourage more individuals to start trading while ensuring that they feel secure in their initial transactions. The reward is available only once per account, and existing users who have already placed trades before completing KYC verification are not eligible.

Broader Industry Implications and Future Plans

The new first-trade coverage and recent audit are part of MEXC's long-term strategy to strengthen trust in the digital asset ecosystem. As global demand for accountability in crypto trading continues to grow, verified reserve transparency has become a key factor in building user confidence. MEXC's audit by Hacken demonstrates that the exchange is committed to operating with a high level of financial responsibility.

Looking ahead, MEXC plans to continue its user-centric approach by offering innovative incentives and educational initiatives. The exchange has also partnered with institutions like VBI Academy to launch digital asset programs aimed at enhancing security awareness and compliance readiness in Vietnam. These efforts reflect MEXC's broader vision to support the responsible growth of the Web3 industry.