Analysis: Approximately $12.6 million in Funds Suspected to be Frozen by Circle Linked to Overnight

BlockBeats News, May 30th, On-chain investigator ZachXBT further revealed that the Zama cUSDC contract, blacklisted by USDC issuer Circle, may be linked to the DeFi project Overnight Finance. The associated address of Overnight Finance had previously deposited around $12.4 million USDC into the Zama protocol on May 11th. Notably, Overnight Finance recently initiated a governance vote to discuss a treasury fund allocation plan. Earlier, some users accused the project team of conducting a Rug Pull, leading to community controversy.

Prior reports indicate that about 7 hours ago, USDC issuer Circle apparently blacklisted the privacy protocol Zama's confidential USDC (cUSDC) contract address on the Ethereum network, with approximately $12.6 million funds frozen in the contract, rendering the assets temporarily unable to be transferred or used.