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This might sound good.. but freezing currencies is bad. It evaporates trust of liquidity from whoever is doing governance. It's part of the reason why the bond market is doing what its doing lately and why countries are on-shoring gold reserves.
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That sounds kind of ideal, but I feel like their actions might have been justifiable.

If a massive heist like this triggered a run on one of the largest exchanges (Binance), potentially leading to a liquidity crisis, the consequences for the ecosystem could be far worse than temporarily freezing specific addresses holding stolen stablecoins.

Not saying that's what would have happened, but it seemed like a real possibility. And I'm not saying freezing assets is good in general, but in this particular case, maybe it was the lesser evil.

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No. Permissioned cryptocurrency is all the horrible parts of cash and all the horrible parts of crypto put together with none of the advantages of either.

I want crypto because I don't trust nation states with the leverage and dials of fiat currency. All we've done is replace government with trusting whoever made a particular stablecoin.

Permissionless crypto is the only real crypto.

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All cryptocurrency is permissioned. This is because governments can make it illegal for someone to turn your cryptocurrency into real currency. You need their permission to turn it into pizzas and yachts.
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Only if you wanted to turn it into fiat currency for the transaction, right? If the yacht seller would take payment in crypto, you need no government’s permission, right?
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If the yacht seller would take payment in cocaine, surely the government wouldn't prohibit the transaction…
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Surely the government would get in the way there, but holding cocaine is also illegal, not just transacting with it. If the government went that route, they'd have to ban all crypto outright.
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governments freeze currency all the time.
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Only the shithole countries freeze currency trading. That doesn't happen with actual reserve fiat currencies.
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The primary reserve currency does it all the time. https://ofacblockedfundslawyers.com/us-sanctions-freeze-doll...
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That's different. They freeze individual accounts subject to legal orders. They don't freeze the whole currency.
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Is that not what is happening here?
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It is, thus the links being to individual wallets.
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You literally made a reply to a person making this exact point ...
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> Only the shithole countries

Seriously?

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Well maybe it could happen with actual reserve currencies, but it certainly doesn't happen with platinum level, diamond tier luxury fiat currencies.

Oh you didn't know? I bet you trade in "dollars". That's cute.

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Name one anyone trusts.
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definitely not the ones I keep track of, eh.
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they borrowed ETH against the stablecoins on AAVE before they were frozen
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Doesn't matter how much they custody!
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Uh don’t you not want to cover losses with customer funds?
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Put some pyramid in that blockchain?!
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Recursive pyramids!
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