Mercury flagged a "crypto-adjacent" business: Legal but risky
A developer tools company building for Web3 had their Mercury account put under extended review. Their product was legal, but the crypto association raised flags.
Background
- User Type
- Startup Founder
- Business Model
- B2B SaaS (developer tools for blockchain)
- Structure
- Delaware C-Corp, venture-backed
What Happened
During a routine review, Mercury discovered the company's customers were primarily crypto/Web3 companies. Account placed under review, limiting transactions.
Timeline: 6 weeks of limited access
META Analysis
Revenue came from legitimate SaaS subscriptions, but customers were in a high-risk industry. The business itself wasn't crypto, but the association was enough.
Corporate structure was clean. VC backing and proper governance actually helped the case.
No issues - standard Delaware C-Corp tax filing.
Strong documentation. Customer contracts, board minutes, and clear business model explanation eventually satisfied the review.
Resolution
After providing extensive documentation including board decks and customer contracts, Mercury restored full access. Company now maintains a backup account.
Key Lessons
- ✓Industry association matters as much as your own activities
- ✓Disclose your customer base honestly to banks upfront
- ✓Strong documentation can save you during reviews
- ✓Consider banks that explicitly serve your industry
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