To add more context to what I believe the parent commenter was referring to, the vast majority of USD stablecoins are custodial, meaning the funds can be frozen arbitrarily at any time by the custodian (i.e. Circle).
This is why when cyberthreat actors steal millions in USD stablecoins by hacking a protocol or a large wallet, the very first thing they do is convert those stablecoins to something else.
To add more context to what I believe the parent commenter was referring to, the vast majority of USD stablecoins are custodial, meaning the funds can be frozen arbitrarily at any time by the custodian (i.e. Circle).
This is why when cyberthreat actors steal millions in USD stablecoins by hacking a protocol or a large wallet, the very first thing they do is convert those stablecoins to something else.