SEC Drops Uniswap Investigation: A "Huge Win" for DeFi

The U.S. Securities and Exchange Commission (SEC) has concluded its investigation into Uniswap Labs, the company behind the popular decentralized exchange (DEX) Uniswap, without filing any enforcement actions. Uniswap Labs received a Wells notice in April 2022, alleging that the DEX operated as an unregistered securities broker, exchange, and issued an unregistered security. The company maintained its innocence and pledged to defend its operations.

Uniswap Labs welcomed the SEC's decision to drop the investigation, stating that it was a "huge win for DeFi." The company expressed gratitude for the SEC's new leadership, which is reassessing pending enforcement actions in the crypto industry. Amanda Tuminelli, chief legal officer at the DeFi Education Fund, echoed this sentiment, noting that the SEC's decision provides additional comfort for DeFi companies to focus on building decentralized technology.

The SEC's decision to close its investigation into Uniswap Labs follows a trend of dropped investigations into crypto companies, including Robinhood Crypto and OpenSea. Coinbase also reported that the SEC agreed to drop its case, pending approval from the agency's commissioners. These developments come as the SEC is overhauling its approach to crypto regulation under new acting chairman Mark Uyeda, who has signaled a more crypto-friendly stance by disbanding the Crypto enforcement unit and establishing a new Crypto Task Force led by Commissioner Hester Peirce.