Centralized Stablecoins Feature Freeze and Blacklist Functions
According to ZachXBT, major centralized stablecoins typically include freeze or blacklist functions in their contracts. Traders can verify if an address is blacklisted by reading the contract on their preferred block explorer.
SourceZachXBT
@zachxbtZachXBT is an Pseudonymous independent on-chain sleuth who is popular on revealing bad actors and scams in the crypto space