This happened with Ethereum early on. It's the cause of the Ethereum Classic fork since many oppose violating immutability.
In addition, my understanding is that many cash exchanges will not accept funds that have previously been identified in major hacks because they could be forced to return the funds to their rightful owners in addition to the cost of compliance with law enforcement.
There are "privacy"-focused cryptocurrencies that do not have this characteristic, the most well known of which is Monero.
[I am not an expert, just a casual news consumer of the space]
Miners would be the correct level for such a thing.
By blocking a specific address, it would effectively freeze all the funds held by it, preventing them from being transferred to anyone, including exchanges.
In addition, my understanding is that many cash exchanges will not accept funds that have previously been identified in major hacks because they could be forced to return the funds to their rightful owners in addition to the cost of compliance with law enforcement.
There are "privacy"-focused cryptocurrencies that do not have this characteristic, the most well known of which is Monero.
[I am not an expert, just a casual news consumer of the space]