This is talking about Bitcoin exchanges blocking certain utxos. Many exchanges block all monero. Whats the difference?
Discussion
You already answered, some bitcoin is treated different than others, while all Monero is treated the same
So blocking all monero on exchanges and being forced to use it p2p is fungible but blocking some bitcoin on exchanges and being forced to use it p2p is not fungible?
being able to differentiate between units and selectively block shows it IS NOT fungibile, that is correct 👍
a CEX unilaterally deciding to not accept because *it cant differentiate between units* shows you that it IS fungibile.