Frozen Stablecoins: Your Private Key Isn’t Enough
Photo: Cointribune
A blocked stablecoin remains visible in your wallet, but you can no longer transfer it. Circle can indeed block an address for USDC and EURC, even if you alone hold the private key. Tether applies the same principle to USDT. On April 23, 2026, it announced having contributed to freezing 344 million dollars on two addresses. A stablecoin like USDC is not stored in your wallet. It is a balance recorded in a smart contract, managed by its issuer. Your private key allows you to sign a transfer. However, it is the contract that decides whether to execute it.
Source: Cointribune
