A U.S. court lifted a temporary freeze on about $12.5 million in USDC held inside Zama's cUSDC smart contract. The freeze followed litigation involving Overnight Finance stakeholders, even though Zama was not a party and the pool included uninvolved users.
Coinbase and Checkout.com announced a partnership to integrate stablecoin payments across the payment processor's network of more than 1,000 enterprise clients. Starting June 2, 2026, eligible merchants will be able to receive payments in USDC or USDT directly through Checkout.com's platform, with no separate integration required. Settlement for merchants will continue to be processed in dollars through the processor's traditional channels.
A federal court order in the Overnight Finance suit forced Circle to blacklist Zama's cUSDC contract, freezing $12.6M and locking unrelated users' deposits due to the wrapper's pooled architecture.
Users who fail to migrate their accounts before quantum computers become a practical threat would not automatically lose their assets under Circle's new plan — the company is proposing recovery frameworks tied to cryptographic proofs, seed phrase verification, exchange records, and even court orders if necessary. Related Reading: Banks Vs.
Did the Overnight Finance hack investigation unfairly target Zama?
Cash App rolls out fee-free, wallet-free USDC transfers to 59M users, spanning multiple chains and offering a one-tap path into Bitcoin.
In the early hours of Saturday morning, Circle implemented a freeze on $12.6 million worth of USDC following a federal court directive to blacklist a smart contract operated by Zama, a privacy-focused protocol.
Circle blacklisted a publicly labeled Ethereum smart contract tied to Zama's privacy protocol on Saturday, freezing approximately $12.6 million in USDC following a U.S. federal court order connected to a civil lawsuit against Overnight Finance founder Maxim Ermilov. Circle's Zama Blacklist Freezes $12.
The incident highlights the inherent risks of relying on centralized entities in DeFi, impacting user trust and market stability. Circle freezes Zama's USDC contract, locking $12.6M amid rug pull allegations.
Arc's development could revolutionize financial systems by enabling AI-driven microtransactions, potentially reshaping global economic interactions. Circle launches Arc blockchain to power the agentic economy with programmable real-time rails.
Circle's Arc blockchain aims to future-proof USDC against quantum threats, potentially setting a new standard for secure digital finance. Circle explores Arc's post-quantum security roadmap for USDC.
The hardware wallet provider Trezor has implemented native yield features for the stablecoins USDC and USDT within its Trezor Suite application. The new technical functionality is executed through an integration with the decentralized lending protocol Morpho on the Ethereum network.