Circle, the company that issues USDC, says it only freezes addresses for specific legal or security reasons. Using a self-custody wallet is not one of those reasons.
But if Circle does block your address, you may still see USDC in your wallet without being able to send or receive it. Having the private key does not override that block. This is known as blocklisting.
On November 5, 2026, Circle said it had frozen USDC linked to a reported attack on Binance, working with law enforcement.
What a USDC freeze actually blocks
With a self-custody wallet such as Unitywallet, you use your own private keys to approve transactions. Unitywallet does not hold those keys for you. But your approval is only part of what a USDC transfer needs. On Ethereum, the token runs on a smart contract—a program that sets its transfer rules. Those rules let Circle block transfers to and from an address, even if you approve the transaction correctly.
Say your Ethereum address holds 500 USDC and some ETH. If Circle blocklists it, the 500 USDC may still show in your wallet, but you can’t send or receive USDC at that address. The block applies to the whole USDC balance there.
The same USDC block does not freeze your ETH, Ethereum’s own currency, or other tokens at that address. Each asset still has its own rules and may have separate restrictions. Circle does not get your private key, and freezing USDC does not automatically send it back to a previous owner or settle who legally owns it.
Why another wallet app cannot unfreeze USDC
Switching wallet apps won’t help if you keep using the same address. Using a hardware wallet to approve transfers from that address won’t lift the block either. The block comes from USDC’s program, so a different app or signing device cannot bypass it.
Who can freeze and unfreeze USDC?
Circle’s policy allows it to freeze USDC to meet legal requirements, respond to certain urgent government requests, or protect the security or reliability of its stablecoin network. A court order is one possible reason.
Circle says it may lift a freeze once the relevant authority confirms that a legal obligation or order no longer applies, or when a security incident no longer calls for the block. That decision still depends on Circle’s assessment of the case under its policy and the law.
Check which version of USDC you hold
This article covers USDC issued directly by Circle. Bridged versions, often called USDC.e, use third-party services to bring USDC to another network. They have their own contracts and risks, so don’t assume they are free of restrictions.
To check what you hold, compare the network and the token’s address or ID with Circle’s official list. The token address or ID identifies the asset itself; it is different from the address you use to receive funds. The USDC label or a familiar icon is not enough. If you’re unsure, ask official support to help identify it.
What to check if a transfer fails
If a transfer says Failed, don’t assume your USDC is frozen. First check the asset, network, transaction status and fees. For transfers that support Gasless Send, follow the fee and approval instructions in Unitywallet. You may not need a separate balance of the network’s own currency.
To see what happened, open Wallets, select the asset and go to Transaction History. Choose the transfer and look for its hash (transaction ID). If a hash is available, use it to check the result and any error message in that network’s blockchain explorer—a website that shows blockchain transactions.
When you contact official support, include the network, token address or ID, your public address, and any transaction hash or error message. A blocked recipient can also cause a transfer to fail, so the problem may not be with your own address. Support does not need your recovery phrase to investigate, and sharing it cannot lift a USDC freeze.
