Crypto Exchange Mexc has deployed an $ 100 million user protection fund to protect its users from major platform violations, technical failures or other serious security threats.
The fund is structured to compensate users in the event of major security incidents, including violations of the platform infrastructure, critical system vulnerabilities or large-scale targeted hacks, exchange in Cintelelelegraph told.
Mexc has also published portfolio addresses linked to the fund on its website, allowing users to check the sales and monitor the activity of funds in real time. A dedicated web portal will also provide information on the fund structure, covered scenarios and current remuneration.
According to the company, the fund will offer coverage in cases where MexC systems are directly compromised or affected by serious vulnerabilities.
“These are not only a question of promises, it is a question of empowerment and prodigy of visible guarantees when they count the most,” said Tracy Jin, head of the MEXC exploitation.
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Designed for rapid deployment
Unlike traditional insurance models, which often require long complaints, the Mexc fund is designed for rapid deployment, the exchange said. Once an incident has been confirmed, the exchange can immediately allocate resources to the users concerned.
A spokesperson told Cointtelegraph that all remuneration decisions were examined and approved by “the dedicated internal team of Mexc”, which includes members of the risk control, compliance and security services.
They added that once an incident is checked and examined, affected users will have manual eligibility assessment. “Our internal team will collect all relevant information and determine the appropriate compensation according to the nature and extent of the loss,” said the spokesperson.
Currently, fund management is managed internally. However, the exchange said they explored partnerships with third -party audit and control entities renowned to improve transparency and surveillance in the future.
The fund represents approximately 2.5% of the daily trading volume of MexC. Coinmarketcap data show that the scholarship had $ 3.98 billion in trading volume during the last day.
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Cryptography market prey to hacks
The launch follows a series of high -level security violations in the cryptography industry.
The pirates succeeded with more than $ 1.6 billion in crypto during the first quarter of 2025, according to an April report from the security company Blockchain Peckshield. The majority, more than $ 1.5 billion, was linked to a single feat targeting the centralized parbit of Bybit, allegedly carried out by the Lazare group in North Korea.
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