Crypto exchange MEXC has released its Bimonthly Transparency Report for May and June 2025, highlighting major steps to protect its users and crack down on crypto-related fraud. From massive insurance payouts to stronger KYC checks and global fraud prevention, MEXC is raising the bar in user safety.

$559M Paid Through Futures Insurance Fund

One of the key takeaways from the report is MEXC’s massive reimbursement of over $559 million through its Futures Insurance Fund. This fund is designed to protect traders from forced liquidations caused by volatile market movements.

It acts as a safety cushion for users who suffer unexpected losses during sharp price swings in futures trading. The platform’s move to support users this way showcases its commitment to reducing trading risks, especially in a highly volatile market.

$100M Guardian Fund for Extra Protection

To further strengthen its user protection measures, MEXC has introduced a brand new $100 million Guardian Fund. This fund is aimed at shielding users from losses caused by hacks, technical errors, or serious system failures.

In a move towards greater transparency, MEXC has also made all wallet addresses linked to the Guardian Fund publicly accessible, allowing users to track funds in real-time.

This initiative adds a new layer of accountability and user trust at a time when security concerns are rising in the broader crypto market.

$2.2M in Stolen Crypto Blocked, 46,000 Fraud Accounts Taken Down

MEXC has also taken significant action to combat fraud. The exchange blocked $2.2 million worth of stolen cryptocurrencies across 41 fraud cases. It didn’t stop there, MEXC also identified and removed over 46,000 suspicious accounts tied to more than 6,100 scam groups, most of which were traced to regions including India, Indonesia, and the CIS.

The platform worked closely with law enforcement and handled 124 official account freeze requests, showing a serious commitment to stopping financial crime.

Additionally, the exchange recovered over $1.1 million in 2,428 user error cases, such as sending funds to the wrong network or inputting incorrect transaction details. This shows MEXC’s user-focused approach, offering real help when honest mistakes happen.

Upgraded KYC to Tackle AI Fraud

With the rise of AI-driven scams, MEXC is now planning to move away from traditional selfie-based KYC (Know Your Customer) systems. These older methods have become easier to manipulate using deepfakes and other tools.

To fight back, MEXC is adopting biometric and behavior-based verification systems to verify user identities more securely. This approach includes features like facial movement recognition, typing patterns, and even voice detection.

Moreover, regulators in many Asian countries are now demanding real-time audits and AI-proof KYC methods, which MEXC is preparing to meet head-on.

MEXC’s latest report sends a strong message: user protection is not optional. With hundreds of millions reimbursed, fraud actively blocked, and KYC getting a modern upgrade, the platform is working to stay ahead of risks in a fast-changing crypto world.