**Bybit’s Report Highlights BNB’s Built-In Freeze Mechanisms: Short-Term Caution with Long-Term Growth Potential**
Bybit’s recent report sheds light on BNB’s built-in fund freeze mechanisms, emphasizing short-term caution for investors and a strong focus on risk management. Bybit frames these freeze tools as practical safety measures, suggesting that institutional interest may support BNB’s long-term growth.
**Freeze Mechanisms Present in Major Blockchains**
Bybit’s Lazarus Security Lab reveals a striking reality: 16 major blockchains feature built-in mechanisms that can instantly freeze user funds. Among the most notable are heavyweights such as BNB Chain, VeChain, and Sui.
According to the report, this development prompts a reevaluation of security and trust in cryptocurrencies. David Zong, Head of Group Risk Control and Security at Bybit, explains:
> “Blockchain was built on the principle of decentralization, yet our research shows that many networks are developing pragmatic safety mechanisms to respond quickly to threats.”
**Transparency and Open Dialogue Are Key**
At Bybit, transparency is seen as a cornerstone for building trust within the crypto industry. The company’s goal is to encourage open dialogue and promote better governance across the ecosystem.
As Binance continues expanding its decentralized finance (DeFi) and real-world asset integrations, BNB’s utility and deflationary tokenomics are expected to support a gradual recovery. This keeps the long-term outlook neutral to bullish according to many crypto analysts.
**Details on Freeze Features in BNB Chain, VeChain, and Sui**
– **BNB Chain** uses a hardcoded protocol-level blacklist. This mechanism was notably activated during the 2022 $570 million bridge exploit to mitigate damage.
– **VeChain** employs permanent hardcoded address blacklisting, a feature first used in 2019.
– **Sui** allows validator-controlled freezes through configurable files, which were deployed in 2025 to lock $162 million following a breach.
**Bybit’s Market Outlook on BNB**
The spotlight on BNB’s freeze functionality raises short-term concerns about centralization risks. Traders might interpret these controls as a potential risk factor, possibly triggering small price declines of 3-7%.
However, Bybit stresses that these tools act as “practical safety measures” designed to calm the market and reduce panic selling. In the long term, this capability could attract institutional investors who prioritize security and compliance.
Greater transparency and clearer governance updates from Binance could help shift market sentiment positively.
**Current Market Data**
According to live data from CoinMarketCap, Binance Coin (BNB) is currently trading at $956.02 USD, down 0.68% in the past day and 0.9% over the past week.
**Conclusion**
Bybit’s identification of 16 blockchains with built-in freeze features, combined with BNB’s expanding DeFi applications, suggests a market outlook that remains neutral to bullish despite short-term risks. Investors are encouraged to consider both the security benefits and the implications for decentralization when evaluating BNB’s potential.
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https://bitcoinethereumnews.com/tech/bybit-identifies-16-blockchains-with-fund-freeze-mechanisms-bnb-chain-vechain-sui-among-the-affected/
