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[Circle Updates USDC Policy to Allow Legal Gun Purchases, Sparking Neutrality Controversy] Stablecoin issuer Circle has updated its terms of service, removing the prohibition on using USDC for gun purchases. This move was implemented under pressure from the National Shooting Sports Foundation and gun rights advocates, who accused Circle of discriminating against lawful commercial activities. A Circle spokesperson stated that USDC can be used for legal gun transactions protected under the Second Amendment. Republican Senator Bill Hagerty hailed this as a victory against the weaponization of the financial system. However, Komodo CTO Kadan Stadelmann warned that this incident reflects the political influence on stablecoins, raising concerns about whether centralized stablecoin issuers can maintain neutrality.