Stablecoin errors reveal centralization

Paxos accidentally minted $300 trillion of PYUSD, then burned it within minutes. The episode shows stablecoin issuers can create and delete synthetic dollars at will and reverse mistakes on-chain—unlike Bitcoin’s irreversible transfers. That power concentrates operational risk and raises governance questions even when no customer is harmed. — It highlights why stablecoins need controls, transparency, and regulation suited to centralized monetary power, not just crypto‑native assumptions about irreversibility.