MEXC strengthens user trust with real-time wallet transparency and rapid compensation measures.

MEXC Introduces Robust Security Fund

Leading global cryptocurrency exchange MEXC has announced the launch of a $100 million user protection fund to shield its users from major platform breaches, technical failures, and targeted hacks. This initiative aims to provide immediate and transparent financial coverage in the event of significant security threats affecting the exchange’s infrastructure.

The fund, structured to cover losses from critical system vulnerabilities and large-scale security incidents, marks a significant step towards user safety and operational accountability in the crypto space. According to MEXC, users will be compensated in situations where the platform’s own systems are compromised.

Real-Time Transparency and Dedicated Web Portal

As part of its transparency initiative, MEXC has published the wallet addresses linked to the fund on its official website. This allows users and independent observers to monitor fund activity and verify balances in real time.

A dedicated portal will offer detailed insights into the fund’s structure, eligibility criteria, and ongoing or resolved compensation cases. “This isn’t just about promises, it’s about accountability and delivering visible safeguards when they matter most,” said Tracy Jin, Chief Operating Officer at MEXC.

Fast and Efficient Deployment Model

Unlike conventional insurance mechanisms that typically involve time-consuming claim processes, MEXC’s fund is designed for rapid deployment. The company stated that once an incident is confirmed, resources can be immediately allocated to affected users without procedural delays.

A spokesperson from MEXC explained that a “dedicated internal team”—comprising members from the risk control, compliance, and security departments—will handle the assessment and approval of compensation claims. This team is responsible for gathering all relevant information and determining the appropriate compensation based on the severity and nature of the loss.

Exploring Third-Party Oversight

Currently, the fund is managed entirely in-house. However, MEXC revealed that it is exploring partnerships with third-party auditing and risk control firms to further enhance transparency and establish an added layer of independent oversight.

The fund accounts for approximately 2.5% of the exchange’s daily trading volume. With MEXC posting a daily spot trading volume of $3.98 billion, as per CoinMarketCap data, the protection fund reflects a substantial commitment to user security.

Context: Rising Crypto Security Threats

The launch of MEXC’s fund comes amid a wave of high-profile security breaches affecting the global crypto industry. According to blockchain security firm PeckShield, hackers stole more than $1.6 billion worth of crypto in the first quarter of 2025 alone.

A staggering $1.5 billion of that total was attributed to a single exploit targeting the centralised exchange Bybit, reportedly orchestrated by North Korea’s infamous Lazarus Group.

In this climate of escalating cyber threats, MEXC’s move to establish a real-time, user-centric protection mechanism sets a new benchmark for exchange accountability and investor reassurance.