Circle explores ‘reversible’ USDC transactions in break from crypto ethos
Transaction reversibility may help stablecoins become an intrinsic part of the legacy financial system, according to the president of Circle.
Update, Sept. 25, 9:52 am UTC: This article has been updated to include comments from Andrei Grachev, founding partner at liquidity protocol Falcon Finance.
Circle, the world’s second-largest stablecoin issuer, is reportedly examining reversible transactions to help recover funds from fraud and hacks, which appears to counter one of crypto’s founding principles: That transactions are final and beyond centralized control.
Circle president Heath Tarbert told the Financial Times on Thursday that the company is examining mechanisms that could allow transactions to be rolled back in cases of fraud or hacks, while still maintaining settlement finality.