Trading Strategy 联创: Polygon's practice of using user-bridged USDC deposits for funding markets like Morpho is very risky

ChainCatcher news, Trading Strategy co-founder Mikko Ohtamaa criticized Polygon for using user-bridged USDC deposits for funding markets (such as Morpho), believing this practice poses multiple risks:

1. Undermining the illusion of self-custody: Although the Polygon bridge is controlled by a multi-signature wallet, this operation breaks users' trust in self-custody.
2. Attracting regulatory scrutiny: The movement of billions of dollars could attract significant attention from regulators and the media.
3. Lack of user choice: Currently, users cannot choose whether to participate in this mechanism, resulting in a lack of transparency.
4. Double counting issue: The bridged USDC is used for lending services on Polygon while also being utilized in Morpho on the mainnet.

He suggested that Polygon explore more transparent methods, such as launching an independent bridging service that allows users to choose to convert USDC into "Polygon yield-bearing USDC." Additionally, he mentioned that Circle has launched a non-bridged version of USDC on Polygon, but due to its late introduction and incompatibility with the bridged version of USDC, it has not gained widespread adoption.