16 Comments
Feb 14, 2023Liked by Dirty Bubble Media

Great piece

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Feb 14, 2023Liked by Dirty Bubble Media

thank you for your time on this, much appreciated.

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This is great research/writeup. One thing to consider though; Circle does actually have the ability to freeze any of the USDC on Ethereum (roughly 85% of all USDC in circulation) and I'd imagine they have the ability to the same on the other chains. As I understand it, the ERC-20 token contract is freeze-enabled. So essentially, when Circle (or any government nudging entity) decides a wallet address that is using USDC is up to no good, that USDC can be frozen. I believe Circle actually blacklisted quite a few ETH addresses in response to OFAC/Tornado Cash. Tether did as well for what it's worth... The point is, Circle may not be freezing to a large degree yet, but there is considerable risk in doing illegal shit with USDC.

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very interesting

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The Fed doesn’t want a competitor. It’s currently the sole issuer of untraceable bearer dollars (federal reserve notes). USDC is a threat to the Fed’s power.

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Was hoping for an article about this! Curious what your response would be to people who say 1. there's no expectation of profit when you mint a stablecoin and therefore they aren't securities and 2. cash can be used without government oversight as well so why should they know how every dollar of stablecoin is spent.

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Crazy times. Wonder what Stable coin one should use if all going to blow up.

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