EL7.AI
CryptoMedium•7 November 2026•
4 min read

U.S. Treasury Targets 8 Canadian Firms, Orders Cutoff of $16 Billion in MEXC Transfers

Key Facts

1U.S. sanctions targeted 8 Canadian financial services firms on November 6, 2026.
2The Treasury said MEXC facilitated at least $16 billion in funds linked to illicit activities between May 2021 and May 2026.
3Direct transactions MEXC sent or received with more than 40 Iranian entities totaled about $1 billion during May 2021–May 2026.
4The order prohibiting transfers to or from MEXC is scheduled to take effect 30 days after publication in the Federal Register.

On November 6, the U.S. Treasury announced simultaneous measures on two fronts: the Office of Foreign Assets Control sanctioned 8 Canadian financial services firms, and the Financial Crimes Enforcement Network issued an order barring U.S. financial institutions from processing money transfers to or from MEXC Global. The Treasury said the platform facilitated at least $16 billion in funds linked to sanctions evasion, cybercrime and other illicit activity between May 2021 and May 2026. Authorities cited links to Iran, North Korea and Russia, so the figure does not cover only Iran-related transactions. The Canadian action targets firms Washington said facilitate currency and digital-asset transfers in international transactions linked to Iran. The two steps signal a U.S. crackdown on different financial channels, from local transfer firms to a global digital-asset platform.

According to the Treasury, MEXC sent or received about $1 billion in direct transactions with more than 40 Iranian virtual currency exchanges over the same period, from May 2021 to May 2026. The department also said the platform facilitated about $22 million in transactions for the Central Bank of Iran, the Islamic Revolutionary Guard Corps and its Quds Force, which it said are subject to U.S. and international sanctions. Those figures differ from the $16 billion total, which aggregates flows authorities said were linked to a broader range of illicit activities. FinCEN issued the order targeting the platform, prohibiting U.S. financial institutions from conducting money transfers to or from it. The order takes effect 30 days after publication in the Federal Register, according to the Treasury.

In Canada, the Treasury said the eight firms facilitate the exchange of Iranian rials and other currencies for digital assets to enable international transactions linked to Iran. It added that several had transacted with sanctioned Iranian platforms or addresses linked to the Revolutionary Guard. OFAC imposed the sanctions under Executive Order 13902, which targets key sectors of Iran’s economy, including the digital-asset sector. The measures follow Washington’s designation of Nobitex, Wallex, Bitpin and Ramzinex on June 2, 2026, and then Aban Tether Exchange and Shelbit on August 7, 2026. These steps point to an expansion of U.S. action from Iranian platforms to transfer firms operating outside Iran and dealing with financial channels linked to it.

The Treasury linked some of the targeted firms to a Canadian drug-trafficking case, saying several companies worked with Ryan Wedding, who used currency-exchange businesses in Vancouver and Toronto to launder drug proceeds. It added that Wedding was arrested in January 2026, while continuing to cite the transfer firms’ dealings with him. In the context of enforcement in Canada, the Financial Transactions and Reports Analysis Centre of Canada said it had revoked the registrations of 161 financial services firms since the start of 2026, more than it revoked in the previous three years combined. These figures place the U.S. sanctions in a broader context of scrutiny of cross-border money-transfer firms. The Treasury also said Canada has hundreds of financial services firms that enable money to move to and from Iran, including cash transfers and conversions of cash into digital assets.

The Treasury said the Canadian designations are part of “Economic Fury,” launched in August to cut off financial channels supporting the Iranian regime and the Revolutionary Guard, including the use of cryptocurrencies to evade sanctions. Treasury Secretary Scott Bessent was quoted as calling for these channels to be pursued wherever they operate, saying: “The Treasury will pursue and disrupt the Iranian regime’s financial channels anywhere in the world.” On MEXC’s scale of operations, the department said the platform processed more than $1 billion in transactions daily and held reserves of about $5 billion as of September 2026. It added that MEXC was among the world’s 20 largest virtual currency exchanges. FinCEN’s order sets a later effective date for the transfer restrictions, 30 days after publication in the Federal Register.