MEXC Updates Proof of Reserves Amid Financial Rumors
Cryptocurrency exchange MEXC addressed recent investor concerns by releasing an updated Proof of Reserves (PoR) report on November 3, 2025. The report shows the exchange holds funds exceeding total user deposits across major assets.
MEXC posted the data on its official X account, confirming reserves for USDT, USDC, Bitcoin (BTC), and Ethereum (ETH) all exceed 100% coverage.
As of November 1, 2025:
- USDT reserves are at 119%, with $2.12 billion held versus $1.78 billion in user assets.
- USDC reserves stand at 110%, with $81.27 million in holdings against $74.08 million user assets.
- Bitcoin reserves total 4,554.12 BTC, covering 125% of 3,632.85 BTC user holdings.
- Ethereum reserves reach 57,909.36 ETH, representing 106% of 54,693.34 ETH owed to users.
MEXC states maintaining reserves above user balances helps prevent liquidity issues and ensures user funds remain accessible. The full PoR data is available on the exchange’s official website.
On-Chain Data and Market Position
Arkham Intelligence reports MEXC holds roughly $4.56 billion in crypto assets, a small 2.08% decrease in value recently.
Major holdings include $2.58 billion in USDT and AUSDT stablecoins, $388 million in Bitcoin, and $204 million in Ethereum. Other tokens such as USDC, TRX, QAI, and USDE make up smaller portions.
The exchange’s balance has been stable throughout 2024 with a brief increase in early 2025 linked to internal proof-of-reserve updates. Arkham also reveals MEXC manages a $500 million position on AAVE V3, indicating significant activity in decentralized finance lending.
MEXC ranks as the eighth-largest exchange by daily spot volume, trading over $3.5 billion, according to CoinMarketCap.
MEXC Responds to Insolvency Claims
Rumors about MEXC’s liquidity surfaced after claims circulated on X that the exchange froze $40 million in withdrawals and offered a 600% APY on USDT staking.
MEXC denied these allegations in a November 3 statement, calling them “false and misleading” and reaffirming that all user assets are fully collateralized. The exchange emphasized its robust financial structure and transparent PoR verification through a Merkle Tree system.
Reserve data is also reflected on trusted third-party platforms including CoinMarketCap, CoinGecko, and DefiLlama.
MEXC highlighted its $100 million Guardian Fund created in 2022. This fund serves as an emergency reserve to protect users’ assets. Its wallet address is public, allowing community verification.
The concerns grew after a trader’s $3 million withdrawal experienced a delay, which was later completed. The incident prompted online discussion about potential liquidity issues.
Industry experts, including Ran Neuner, praised CEO Cecilia Hsueh for addressing the situation openly and transparently.
MEXC’s latest transparency measures reflect the growing importance of clear reporting in crypto. Providing verifiable reserve data helps restore trust amid increasing demands for accountability in the industry.
