Base’s Cobalt Upgrade Lets Token Issuers Move Seized Balances Instead of Burning Them

The shift from burning to relocating seized balances gives issuers a recovery path that previously did not exist on Base, which matters for regulated stablecoin and RWA issuers who need a credible response to hacks or court orders. Conditional, private-until-included transactions cut both ways: they can shield legitimate order flow from front-running, but they also narrow the window in which the public can see intent before execution. Whether issuers actually use relocation rather than burn, and how much of that conditional flow stays opaque, is the open question.