MEXC Chief Strategy Officer (CSO), Cecilia Hsueh, has publicly apologized to cryptocurrency trader “The White Whale” and confirmed the release of over $3 million in frozen funds, a major turnaround after months of public controversy.
This trader has been persistently protesting the exchange freezing his funds since August. MEXC reportedly also requested a face-to-face KYC meeting.
MEXC admits mistakes and pledges reform
In a candid post on X, Hsueh admitted that MEXC 's rapid growth had outpaced its internal infrastructure, saying that its “risk management, operations, and PR teams couldn't keep up.”
The new CSO takes responsibility for communication errors and pledges to push for leadership changes to increase transparency and consistency in operations.
The apology is the first time MEXC has publicly acknowledged that it mishandled the case. The dispute began in July when the trader’s account was frozen under “risk control procedures.”
The White Whale, which first brought the matter to public attention in August, confirmed the money had been released but said an apology was lacking.
“I take note, but they don’t say what they’re apologizing for,” he said. “The implication that I’m a criminal or a fraud should be made clear.”
He reiterated that he has never used an automated trading bot or privileged API access. Instead, his only “crime” is that he has consistently made profits on the platform.
$3 million will be donated to supporters and charities.
White Whale announced that it would donate the entire refunded amount instead of keeping it.
Half will go to early backers through his Non-Fungible Token campaign. The rest will be distributed to verified nonprofits.
He said that the Airdrop mechanism and community voting system will be launched in the next few days.
“It’s not fair that someone with more Watcher gets treated differently,” he said. “I don’t feel comfortable taking that money all for myself.”
How it all began
BeInCrypto was first to report the news via an exclusive interview earlier this year, in which The White Whale accused MEXC of freezing his $3.1 million without justification.
He said the exchange then asked him to fly to Malaysia for in-person verification — a condition not included in the terms of service.
In that interview, he said his legal options were limited due to the exchange’s legal structure, leaving his only option open to public scrutiny. MEXC denied wrongdoing at the time, citing “hidden risks” in its compliance system.
The story quickly garnered global attention, XEM by many industry figures as a wake-up call about oversight of centralized exchanges and opacity in risk controls.
This incident became a typical case of user rights and operational transparency at centralized exchanges.
Hsueh’s apology shows that MEXC recognizes the need for reform, particularly in how it communicates compliance actions and handles fund freezes. The incident also underscores the growing power of public pressure to hold exchanges accountable.
“The battle is won,” wrote The White Whale, “but the war is far from over… It is about us fixing our problems ourselves before the government has to.”
