Circle Accused by New York and Wisconsin Prosecutors of Hindering USDC Recovery for Scam Victims
The post Circle Accused by New York and Wisconsin Prosecutors of Hindering USDC Recovery for Scam Victims appeared on BitcoinEthereumNews.com. Key Takeaways Wisconsin charged Circle over a warrant to seize 381,000 USDC stolen in a crypto romance scam. Circle holds 119 million frozen tokens, with critics noting it earns interest on backing reserves. Circle reached a federal deal to permanently freeze flagged USDC and issue new tokens to victims. State Prosecutors Clash With Stablecoin Giant The USDC stablecoin issuer, Circle, faces mounting criticism from prosecutors in Wisconsin and New York who say the company has declined or delayed complying with court orders aimed at recovering funds. According to an ICIJ report, Thomas Binger, a prosecutor in Walworth County, Wisconsin, has filed a misdemeanor criminal complaint accusing Circle of refusing to comply with a December warrant. The warrant ordered the company to “facilitate the seizure” of roughly 381,000 USDC stolen from a victim of