CENTRE appears to have blacklisted an address holding USDC for the first time

In a first of its kind, an Ethereum address holding 100,000 USDC stablecoin has been blacklisted. 

The transaction, viewed through blockchain explorer Etherscan, appears to show that a “blacklist(address investor)” function was called on June 16, 2020, by 0x5dB0115f3B72d19cEa34dD697cf412Ff86dc7E1b, an address owned by CENTRE, the entity issuing USDCs.

In USDC’s Contract Application Binary Interface, the standard by which smart contracts interact with Ethereum, we can see the address named “blacklister” matches the one that called the blacklist function. According to Circle’s website, a blacklisted address will not be able to execute transactions (receiving or sending) through the USDC smart contract. Additionally, Circle adds that all USDC balances held on blacklisted addresses may be “wholly and permanently unrecoverable.”

It is unclear what caused the blacklist function to be activated but in the Etherscan comment section of a separate address tied to the blacklisted address, a user claimed that the owner of the address stole tokens from him.

The Block has reached out to CENTRE and Circle and will update this article when a representative provides us with a response.

USDC recently cross 1 billion in total supply, as reported by The Block.

© 2020 The Block Crypto, Inc. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

CENTRE appears to have blacklisted an address holding USDC for the first time written by The Block @ https://www.theblockcrypto.com/linked/70850/centre-appears-to-have-blacklisted-an-address-holding-usdc-for-the-first-time?utm_source=rss&utm_medium=rss July 8, 2020 The Block

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