I assume you must understand how Bitcoin works, so…

Moving cryptocurrencies around barriers such as custodial exchanges freezing/losing/stealing it is one of the “superpowers” that makes real Crypto valuable.

Any thief dumb enough to deposit their stolen goods onto someone’s exchange deserves to have it frozen — heck, if they deposited it into my wallet, that’s what I wound do!

Explain again how this defeats “code is law”?