Circle CEO Jeremy Allaire has emphasized that USDC will not be frozen without a court order, drawing a firm line on the stablecoin issuer's governance policies. The stance was clarified during a press conference in Seoul, reinforcing Circle's commitment to legal due process despite growing pressure to intervene in hack-related outflows.

USDC's liquidity and widespread use in trading pairs make it a frequent target for exploiters. While Circle has frozen wallets in past cases, such actions were exclusively court-mandated. The company now relies on protocol-level safeguards rather than unilateral freezes.

Recent incidents like the Drift Protocol hack tested this policy, as exploiters swiftly converted funds through DeFi channels. The crypto community remains divided—some praise the restraint as preserving decentralization principles, while others argue for more proactive asset recovery measures.