Industry participants expect tighter controls …

Industry players anticipate tightening control over stablecoins in light of USDC address freeze

The CENTER Consortium behind the USDC stablecoin has confirmed the freezing of one of the $ 100,000 addresses at the request of law enforcement.

“CENTER are ready to confirm that they added the address to the black list in accordance with the request of law enforcement agencies. Although we cannot comment on the details of this request, CENTER complies with the binding orders of the courts having the appropriate jurisdiction over our organization, ”said a consortium spokesman..

Under the USDC’s terms of use, CENTER reserves the right to add addresses to the blacklist if there is a threat to network security or to comply with U.S. legal requirements. The blacklisting must be voted on by a majority of the CENTER board, which includes Circle co-founder Jeremy Aller, Coinbase CFO Alesia Haas, and Impossible Foods legal counsel Dana Wagner.

Scalar Capita co-founder Linda Xi expects that control over centralized stablecoins will only tighten over time: “Ultimately, USDC and similar regulated centralized stablecoins will only be transferable to whitelisted addresses that have been identified or pre-approved. At least this requirement will apply starting from certain amounts “.

Industry players expect tighter controls ...

Lawyer Jake Chervinsky noted the importance of the incident. “Blacklisting USDC addresses has gone from being a hypothetical threat to a real risk,” he added..

Interestingly, the most popular stablecoin Tether (USDT), known for its lack of strict restrictions on transactions with it, also has 39 blacklisted addresses on the Ethereum blockchain. The reasons for blocking these addresses are unknown..

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