Court-ordered Circle freeze traps $12.6 million in Zama cUSDC contract amid Overnight Finance suit — 2026-05-30

Impact Vector: Crypto Infrastructure · May 30, 2026 · 2m

## Short Segments ## Feature Story Circle's court-ordered freeze of Zama's cUSDC contract has trapped $12.6 million, sparking significant concern across the crypto infrastructure landscape. This development stems from a legal dispute involving Overnight Finance, which has led to Circle blacklisting the smart contract address for Zama's Confidential USDC token on Ethereum. The freeze, executed without prior warning, has isolated an entire pool of funds, including a $12.4 million transaction linked to Overnight Finance. On-chain tracking by ZachXBT revealed that the blacklist hit Zama's…