Etherfuse's Stellar issuer freeze and clawback powers

What happened

Etherfuse's Stellar issuer had authorization-revocation and clawback flags enabled on October 28, according to Stellar's public account data.

What changed

Ketju identified issuer powers that contradict its eligibility file's description. The evidence establishes the current flags, but leaves their activation date unresolved.

What did not change

Stellar's account data establishes no completed freeze, clawback, reserve loss, or change to holders' legal claims.

Confirmed

• Stellar's public account data identifies etherfuse.com as the issuer account's home domain.
• The issuer account has auth_revocable and auth_clawback_enabled set to true.
• The issuer account has auth_required and auth_immutable set to false.

Still open

• The evidence does not establish when Etherfuse enabled these flags.
• Ketju has not established which existing holder trustlines permit clawbacks.
• The evidence does not establish whether Etherfuse exercised either power against a holder.

What it means for an advisor

• Ketju should review the memo and eligibility file descriptions of Etherfuse's Stellar authority.
• Advisors should distinguish the issuer's ability to restrict transfers from its ability to claw back particular holdings.