With its Insurance Fund Account, MEXC is stepping up to cover traders' bankruptcy losses, amounting to more than $414 million.

Seychelles, January 27, 2025 – MEXC, a worldwide cryptocurrency exchange leader, has made available over $414 million through its Insurance Fund Account to assist traders whose losses during liquidation outstrip their available margin as of January 23, 2025. This significant amount highlights MEXC’s dedication to safeguarding assets and managing risks. Additionally, Proof of Reserve MEXC provides traders with strong safeguards against severe market shifts.

Understanding How MEXC’s Insurance Fund Account Helps Minimize Risks for Traders

Launched in November 2024, the MEXC Insurance Fund Account has been specifically established to shield traders from drastic market changes, such as those witnessed during bullish trends, where rapid price fluctuations can cause a user's account balance to fall below the required margin, leading to liquidation. If the actual liquidation price ends up being worse than anticipated, resulting in losses that go beyond the existing margin—what’s known in financial circles as bankruptcy—the Insurance Fund intervenes to absorb these additional losses, smoothing the liquidation process.

This fund remains well-capitalized, regularly augmented by surpluses from liquidation orders that are completed at more favorable prices, ensuring its sustainable operation and defensive capabilities during volatile trading periods.

In alignment with its promise of transparency, MEXC allows users to access real-time and historical data regarding the insurance funds allocated to different cryptocurrencies available on the platform.

In addition, MEXC provides Proof of Reserve MEXC values the protection of user assets and maintains transparency. This feature promotes user confidence while trading, alleviating fears of withdrawal surges. The reserve levels are reassessed every two months . As of December 1, 2024, reserve rates for a range of cryptocurrencies are noted as follows:

• USDT : 104.52%
• USDC : 116.52%
• BTC : 105.88%
• ETH : 105.65%

By providing high leverage options alongside an Insurance Fund Account and a reserve rate that exceeds 100%, MEXC ensures that traders have multiple safety nets, thus protecting their investment positions and ensuring asset security.

Your Preferred Platform for Uninterrupted Crypto Trading

Beyond the stringent safety protocols ensuring a secure trading environment, MEXC presents a suite of features and services aimed at optimizing the overall user experience. These enhancements are geared towards reducing costs for traders while maximizing their potential returns. MEXC MEXC is dedicated to empowering traders by facilitating investments across a vast array of assets, ensuring secure and seamless transactions regardless of the market climate.

• M – Most Popular Tokens: Known for its swift token listings, MEXC boasts a diverse array of trending tokens, enabling users to seize emerging trading opportunities. To date, over 3,000 tokens have made their debut on the platform.
• E – Daily Airdrops: MEXC simplifies participation in daily airdrop events, allowing users to reap significant rewards without navigating complicated processes. In 2024 alone, the platform hosted 2,293 airdrop events , awarding users with over $136 million in total prizes.
• X – Exceptionally Low Fees: MEXC provides highly competitive trading rates to assist users in minimizing expenses and maximizing their growth potential.
• C – Extensive Liquidity: With a robust liquidity framework and market depth, MEXC guarantees prompt and efficient transaction executions, reducing slippage, even in choppy market conditions.

These features have led MEXC to garner over 30 million users from more than 170 countries , solidifying its reputation as the go-to platform for an expanding number of traders globally.

Learn more about the MEXC Insurance Fund Account .

About MEXC

Established in 2018, MEXC is dedicated to being “Your Easiest Path to Crypto.” Catering to more than 30 million users across 170+ nations, MEXC is acknowledged for its wide-ranging array of trending tokens, frequent airdrop opportunities, and minimal trading fees. The user-friendly interface is designed to support traders of all levels, ensuring secure and efficient access to digital assets. MEXC prioritizes ease of use and innovation, making crypto trading more accessible and profitable.

MEXC Official Website ｜ X ｜ Telegram ｜ How to Sign Up on MEXC

Risk Disclaimer:

The insights shared in this article regarding cryptocurrencies do not express MEXC’s official opinion or investment advice. Given the inherently volatile nature of the crypto market, investors should exercise caution and conduct thorough evaluations of market trends, project fundamentals, and potential risks before engaging in trading activities.