Circle USDC Faces Class-Action Suit Over Its Handling of Drift Protocol Hack

Circle faces a proposed class-action lawsuit over its handling of USDC after the Drift Protocol hack.

Plaintiffs allege the company was negligent and helped convert stolen funds by failing to freeze about $230 million in USDC as it moved across chains.

Circle says it only freezes funds when required by law enforcement or a court order.

The case could help define how quickly stablecoin issuers must act to block stolen assets during major crypto hacks.