The German Federal Financial Supervisory Authority (BaFin) issued a warning on Tuesday regarding the cryptocurrency exchange MEXC, stating that it is providing unauthorized financial services in Germany. The warning emphasized that institutions in Germany must obtain permission from BaFin in order to offer financial services.
The German Federal Financial Supervisory Authority (BaFin) issued a warning about a cryptocurrency exchange operating illegally in the country. According to BaFin, the MEXC exchange is providing financial services to customers in Germany without obtaining permission from BaFin or having the necessary authorization.
BaFin highlighted the requirement for all institutions providing financial services in Germany to obtain permission from BaFin. The statement read:
“Financial services in Germany can only be provided with permission from BaFin. However, some companies are offering such services without the necessary authorization. Information on whether a specific company has been authorized by BaFin can be found in the company database. The information provided by BaFin is based on Section 37(4) of the German Banking Act.”
BaFin also warned customers about the unauthorized financial services provided by MEXC and advised them to conduct thorough research before engaging with any institution.
Following the warning issued by the German Federal Financial Supervisory Authority, the cryptocurrency exchange MEXC has also come under scrutiny from regulators in Japan. In April, the Japan Financial Services Agency sent a warning letter stating that MEXC Global was operating in the country without the required registration.
However, the warning letter from the Japan Financial Services Agency did not solely target MEXC exchange. The same letter also reported that the exchanges Binance and Bybit were providing unauthorized financial services in Japan.