Tag: DeFi exploit

Circle Hit With Class Action After Drift Hack: USDC Issuer Faces Liability Questions Over Alleged Failure To Freeze Stolen Funds

Court Cases Ben -
The roughly $280 million Drift Protocol exploit is rapidly turning into a defining compliance test for the stablecoin sector. A proposed class action accuses the US stablecoin issuer Circle of standing by while attackers allegedly moved more than $230 million in stolen USDC through Circle-linked infrastructure instead of freezing the assets. The case strikes at the core of Circle’s regulatory narrative: if USDC is marketed as a controlled, compliance-friendly digital dollar, why was that control not used when it mattered most?