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 PayPal has finally launched its oft-delayed stablecoin in partnership with Paxos. The token was delayed amid increasing regulatory scrutiny around Binance USD, another Paxos stablecoin. 
 The launch of the coin has led some Twitter users to highlight that it boasts functions that would allow the company to freeze assets and wipe value from addresses. 
 Other stablecoins do use different names for these functions. Tether, for example, relies on a blacklist, which on Ethereum makes use of the addBlackList function. This prevents the token from being transferred. The function that destroys assets in an address is called destroyBlackFunds. 
 Tether uses this function regularly, including in cases where it believes someone has been the victim of a scam. Indeed, it recently froze the proceeds of a phishing scam. 
 Historically, <a rel="noopener noreferrer nofollow" title="Tether" href="https://thebittimes.com/tag/tether.html">Tether</a> once forced a hard fork of Bitcoin’s Omni layer in order to add the ability to freeze tokens after it was hacked. <a rel="noopener noreferrer nofollow" title="Tether" href="https://thebittimes.com/tag/tether.html">Tether</a> still fails to accurately account for these on its transparency page. 
 Circle also relies on blacklists to prevent tokens from being transferred. 
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 <img decoding="async" src="https://thebittimes.com/image/getimage/?url=https://lh4.googleusercontent.com/qFtqIzQahv-df2hQDD4bwuzeguuVFDz_5m1e9ERsgKS_F6mawkj4GXnByLa1GTm67cRKyZ-sFtt0gNNd1zgCcN0jOfu5AsoMu2MMhk5UVllVmSEZU0QzhHNjQVplLtkrZkeqixt6Z0rxqX_OHio1uMg" alt=""> 
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 Chart from The Block showing Circle blacklisted addresses over time. 
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 Read more: Coinbase allegedly offered Circle $3B lifeline during USDC depeg 
 Data from The Block shows that Circle has blacklisted 170 different addresses on Ethereum.&nbsp; 
 Other Paxos coins, of course, have the same functions as <a rel="noopener noreferrer nofollow" title="PayPal" href="https://thebittimes.com/tag/paypal.html">PayPal</a>, including the Pax Dollar.&nbsp; 
 Simply put, <a rel="noopener noreferrer nofollow" title="PayPal" href="https://thebittimes.com/tag/paypal.html">PayPal</a>’s <a rel="noopener noreferrer nofollow" title="stablecoin" href="https://thebittimes.com/tag/stablecoin.html">stablecoin</a> is neither unique nor special, inheriting design decisions from many existing <a rel="noopener noreferrer nofollow" title="Stablecoins" href="https://thebittimes.com/tag/stablecoins.html">Stablecoins</a>. 
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PayPal stablecoin can be frozen like Tether and Circle

TheBitTimes

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