Add as a preferred source on GoogleReserve Plans to Pull LCAP and CMC20 Liquidity From MEXC After FinCEN Order
The order alleges at least $16 billion in illicit transactions; Reserve says liquidity for both tokens elsewhere will be unaffected.
Reserve plans to withdraw liquidity support for LCAP and CMC20 from MEXC, citing a U.S. Financial Crimes Enforcement Network (FinCEN) order that it says effectively cuts the exchange off from the U.S. financial system.
The move applies to liquidity provided by Reserve and its market-making partners. They plan to stop supporting the two tokens on MEXC and soon withdraw the funds connected to that activity. The planned change is specific to MEXC.
Reserve said liquidity for LCAP and CMC20 on other venues, including on-chain markets, will not be affected. The company described no broader halt to support for either token.
The FinCEN order alleges MEXC Global facilitated at least $16 billion in illicit transactions, including activity related to evading Iran sanctions. Reserve cited the order as the reason for its planned withdrawal from the exchange.
Riza Dagoc
Riza Dagoc reports on regulation, investing and the digital-asset business for TokenPost. Send corrections or tips to info@tokenpost.com.