ME News reports on April 18th, responding to Neeraj K. Agrawal's claim that requesting Circle to act as the crypto world's police is unlikely to improve DeFi security, ZachXBT stated that equating real-time freezing of stablecoins with DeFi security is inaccurate because publicly traded companies and centralized stablecoin issuers are not part of DeFi. He mentioned a case involving approximately $230 million in illegal funds being laundered over six hours, noting that poor infrastructure and lack of compliance are prime examples, and criticized the inefficiency of legal procedures that oppress victims, emphasizing that Circle should not switch between centralized and decentralized interests for its own benefit.

MeNews

2026-05-26 13:37:18

Abstract generation in progress

ME News Report, April 18 (UTC+8), in response to Neeraj K. Agrawal's statement that "asking Circle to act as the police of the crypto world does not enhance DeFi security," on-chain investigator ZachXBT responded that it is inaccurate to conflate "whether stablecoin issuers should freeze assets in real-time" with "DeFi security," because publicly traded companies and centralized stablecoin issuers are not part of DeFi. ZachXBT stated that in a "clear and definite" case, approximately $230 million in illegal funds were laundered within six hours; if the relevant infrastructure and customer compliance are inadequate, this is a very poor example. He also criticized the inefficiency of using legal procedures to pressure victims instead of establishing real-time response mechanisms, and said that Circle should not selectively switch between "centralized" and "decentralized" based on its own interests. (Source: MLion)

CRCLX-9.53%

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

9 Likes

Reward
9
5
2
Share

Comment

Add a comment

ReflectiveChainShadow

· 10h ago

The legal process is so slow that victims become hopeless—that's the real pain point.

View OriginalReply0

MarketMakingForMoonlitDeepPool

· 10h ago

While shouting for decentralization, they seek centralized institutions to put out the fire; the community's split personality needs treatment.

View OriginalReply0

PerpNightwatch

· 10h ago

Is DeFi security relying on freezing stablecoins? Even my grandma would shake her head at that logic.

View OriginalReply0

GotLiquidatedAgainLastNight.

· 10h ago

230 million in six hours to launder money—this efficiency is even more corrupt than traditional finance.

View OriginalReply0

Lemon-FlavoredStopLoss

· 10h ago

ZachXBT's response this time is excellent; it's truly outrageous for Circle to want to be both the referee and the athlete.

View OriginalReply0

Trending Topics
View More
#
StockTradingChallengeUpTo17000U
16.22M Popularity
#
USStrikesIran
9.32M Popularity
#
GatePredictionMarketAddsSmartMoneyTracking
13.81M Popularity
#
InstitutionalCapitalRotatesFromBTCToHYPEAndXRP
14.33M Popularity
#
TradeCFDWinGold
3.08M Popularity

Pinned

Sitemap

ZachXBT states that the issue of stablecoin issuers freezing funds in real-time should not be conflated with DeFi security.

Trending Topics

StockTradingChallengeUpTo17000U

USStrikesIran

GatePredictionMarketAddsSmartMoneyTracking

InstitutionalCapitalRotatesFromBTCToHYPEAndXRP

TradeCFDWinGold

Pinned