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Circuit Breakers: Is ERC-7265 the Solution dApps Were Waiting For? - Ep. 515
Unchained
The Circle Breaker in Cryptocurrency
The Circle Breaker acts as an initial flare or signal telling the team like there's some irregularity here that might point to a hack. It gives them the time to essentially evaluate the situation before anything results in irreversible damage. Users can still close their position and trade within the protocol even while there's a halt, but just like exiting from the protocol is what might be temporarily halted.
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