WashingtonTreasury alleges MEXC handled $16 billion in illicit flows.
US financial institutions would be barred from sending funds to or receiving funds from the exchange.
FinCEN used Section 9714, which covers Russian illicit finance, so the order rests on $1.5 billion in alleged Russian sanctions evasion.
MEXC says it is operating normally and has launched an independent review of its sanctions controls.
The order takes effect 30 days after Federal Register publication.
How each outlet framed it
- CoinDesk leans critical
- rests the FinCEN order formally on MEXC's Russian dealings, since Section 9714 cannot reach Iran-linked activity
Sources: CoinDesk