This case has brought attention to the practices of fund freezing on centralized exchanges, specifically regarding the situation of a trader known as 'White Whale'.
Trader's Allegations Against MEXC Global
The user known as 'White Whale' accused MEXC Global of unjustly freezing over $3.1 million in his account. He claims the freeze occurred in July 2025 without any prior warnings or specific allegations. According to him, the freezing followed months of profitable trading that consistently outperformed MEXC's external market-making partners. 'I had passed their highest level of KYC. There was no violation of terms, just retaliation for being too profitable,' the trader stated.
Social Campaign #FreeTheWhiteWhale
To apply pressure on the exchange, the trader launched a social campaign under the hashtag #FreeTheWhiteWhale. Supporters express solidarity by minting free NFT badges on the Base network and temporarily changing their profile pictures. In return, the trader has pledged to distribute $1 million in USDC among 20,000 NFT holders, as well as donate an additional $1 million to vetted charities.
Context of the Situation in the Crypto Market
This incident raises concerns about centralized exchanges (CEXs) and their management of customer assets. Traders have noted that offshore-registered platforms can freeze accounts with little transparency or legal recourse. While MEXC has not issued a formal statement on the matter, the controversy highlights the need for increased transparency and user protection within the crypto community.
The situation with 'White Whale' and the freezing of his funds at MEXC Global illustrates the challenges traders face on centralized platforms and the necessity for greater transparency and customer rights protections.
