Circle unfreezes wallets associated with individual civil litigation cases

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Golden Finance reports that on March 26, on-chain investigator ZachXBT stated that Circle has unfrozen the USDC balance in a previously frozen wallet. The wallet associated with Goated.com, “0x61f…e543,” has regained access to its USDC balance, currently holding 130,966 USDC. ZachXBT also mentioned that other affected wallets may be restored “in the near future.” Recently, Circle froze the USDC balances of 16 hot wallets belonging to multiple companies. The freeze was initiated due to an ongoing U.S. civil lawsuit whose details have not been publicly disclosed.

Yesterday, ZachXBT said that these wallets involved in trading platforms, foreign exchange, and other businesses do not appear to be directly connected, questioning whether Circle adequately reviewed the freeze requests. The affected wallets are operational hot wallets used by businesses to handle large volumes of user transactions, and the freeze has impacted their daily operations.

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