When instant redeeming either OUSG or rOUSG, at the end the user is funded their USDC.
ousgInstantManager::_redeem:
The issue is that Circle (owner of USDC) can add addresses to a blocklist. If the user holding OUSG (or rOUSG) is blocked by Circle, they will never be able to redeem.
Consider adding an address to for redemptions so that they can send the USDC to an address that is not blocked by Circle.
