Bitcoin

The largest stablecoin platforms …

Navigation

Top Stablecoins Compared Side by Side

The largest stablecoin platforms ...

Major stablecoin platforms Tether and Center block transactions
CONTENT

  • The largest stablecoin platforms began to block user addresses

  • New FATF rules require freezing accounts and suspicious transactions

  • DeFi Market May Be Affected by FATF Policy

International consortium of news organizations developing transparency standards.

The two largest stablecoin platforms Tether (USDT) and Center (USDC) have begun blocking user addresses if a transaction looks suspicious. Thus, the platforms comply with the FATF requirements for the prevention of money laundering..

The largest stablecoin platforms ...

Dozens of ETH addresses were blacklisted

 

Recently, the stablecoin company Center added 39 Ethereum addresses, which stored millions of dollars, to the blacklist. This decision was made after a court ruling, which ordered to block funds on users’ accounts until the circumstances of receiving money are clarified. This was announced on Twitter by Philip Castonguey, a blockchain software developer..

Since the beginning of the year, the largest developer of stablecoins Tether (USDT) has blocked 22 addresses, which contained a total of $ 994,000. So far, the companies have not commented on the situation in any way, citing the fact that they are simply following a court order.

The largest stablecoin platforms ...

And although such activity does not yet cause concern among the crypto community, nevertheless, experts believe that freezing accounts can lead to problems.

“I don’t think a few frozen transactions will make the USDC useless as a stablecoin (especially for traders), but I am really worried that normalizing this trend would set a bad precedent,” said Komodo CTO Kadan Stadelmann.

The freezing of accounts can have a particularly negative effect on the decentralized finance market. After all, it may turn out that the company will simply freeze the account on which stablecoins will be stored, intended for the return of a loan or credit. As a result, the participant in the system will find itself in a very difficult position. According to Stadelmann, the DeFi marketDecentralized finance (DeFi) is financial services built on blockchain technology that offer users access to an open, efficient and … More must still use bitcoin, which is not regulated by any particular company or bank..

“This incident underlines the ongoing global demand for bitcoins. Of course, Bitcoin remains volatile and suboptimal as a store of value. But in the end it remains the best tool for invisible, unstoppable transfer of value, ”said Stadelmann..

Bitcoin enters the DeFi market

 

While the main cryptocurrency is not particularly popular in the decentralized finance market. However, developers are already trying to integrate PTS into DeFi protocols to solve problems. Earlier, BeInCrypto reported that a new Money On Chain protocol, created on the Bitcoin blockchain, was recently launched. The development is based on RSK technology, which is a smart contract platform compatible with Ethereum standards and secured by bitcoin fusion. In fact, this is a mix of two blockchains – Bitcoin and Ethereum. For example, from Ethereum, the technology received features such as account format, VM and Web3 interface. To circulate bitcoins within the network, RSK has a two-way peg to bitcoins. In practice, it looks like this. When a user transfers bitcoins to the RSK platform, they become “smart bitcoins” (ticker RBTC1). Smart bitcoins are equivalent to bitcoins operating on the RSK blockchain and can be converted back to bitcoins at any time at no additional cost, except for standard transaction fees in RSK and Bitcoin.

The largest stablecoin platforms ...

We also reported that at least 5 DeFi platforms use Bitcoin. DeFi’s Bitcoin hit rate is only 0.01% compared to a total supply of 21 million.This is a very small number, but it’s safe to say that it will increase significantly in the coming years..

Disclaimer

All information contained on our website is published in good faith and objectivity, and for informational purposes only. The reader is solely responsible for any actions he takes based on the information received on our website..

Share Article

Similar articles

Similar articles