[qqii]

There's no reason you cannot construct a token that can be frozen and reversed - USDT (other issues as side) being an example. Accounts as we know them don't have to be at the level of public address-private key but rather a smart contract as seen by Loopring.

The difference is what was centralised is now decentralised, what was implicit and required trust is now explicit and requires formal verification.

[swalsh]

USDC has a blacklist feature too. I don't think funds are reversed though, just frozen (my rough understanding)