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MEXC Returns $3 Million to 'White Whale' After Uproar, Pledges Reforms

Community scrutiny over opaque account freezes forced a rare climbdown.

Overview

  • On Oct. 31, CSO Cecilia Hsueh issued a public apology and confirmed the release of roughly $3.0–$3.15 million to The White Whale.
  • Hsueh acknowledged that MEXC’s growth outpaced its risk, operations and PR teams and said a new fast-track channel will address account disputes.
  • Public pressure intensified after on-chain investigator ZachXBT questioned the exchange’s ownership and practices, triggering a wave of withdrawals.
  • Data from CryptoQuant and CoinGecko showed elevated outflows and a decline in trading volume, underscoring fragile user confidence.
  • MEXC rejected insolvency and bankruptcy rumors and asserted user assets are fully backed as more customers reported prolonged freezes.