Stablecoin Freeze Race Conditions: Temporal Enforcement Failures in Permissioned Monetary Systems
Abstract
Decentralized finance and stablecoin systems rely Stablecoins increasingly incorporate freeze, pause, and blacklist mechanisms to satisfy regulatory, compliance, and risk-management requirements. However, these controls introduce a critical temporal vulnerability when enforcement actions compete with transaction finality. This paper defines Stablecoin Freeze Race Conditions as a class of failures in which transfers, redemptions, or collateral movements execute successfully during the latency window between risk detection and freeze enforcement. We analyze how asynchronous control paths enable value escape even in fully permissioned stablecoins and demonstrate why governance authority alone is insufficient. A validator-level, logic-layer enforcement model is proposed to ensure atomicity between risk triggers and monetary state transitions under MiCA-aligned frameworks.
Fields of Study & Subjects
Blockchain Technology Applications and Security
Distributed systems and fault tolerance
FinTech
Crowdfunding
Digital Finance
Publication details
- Journal / source
- Figshare
- Publication date
- 1 January 2026
- Document type
- Preprint