Uniswap Fires Back at SEC’s Wells Notice, Calls Out ‘Weak’ Legal Arguments

Article

Name

Uniswap Fires Back at SEC’s Wells Notice, Calls Out ‘Weak’ Legal Arguments

Types

Authors

Shalini Nagarajan

Publish date

05

Month

/

22

Day

/

2024

Year

12

:

00

am

Publisher

Quotes from

Uniswap argued that most trading on its platform doesn’t involve securities, even by the SEC’s own standards. It pointed out that a large portion (65%) of its trading volume involves assets the SEC itself has admitted aren’t securities, like Ether, wrapped Bitcoin, and stablecoins. Additionally, the protocol argued that US securities laws wouldn’t apply to most users since it estimate 75% of them are from outside the US. The marketplace said that even if a few security-like transactions took place on its platform, it isn’t a securities exchange. It said a court wouldn’t see it that way because the platform wasn’t built specifically for those transactions.

Related news stories

DeFi exchange Uniswap responded to SEC enforcement (a.k.a Wells notice) notice for Operating as Unregistered Securities Broker and Unregistered Securities Exchange

Web URL

https://cryptonews.com/news/uniswap-slams-sec-wells-notice-calls-out-weak-arguments.htm

Referenced by

In it's response to SEC in regards to enforcement notice (Wells notice) for Operating as Unregistered Securities Exchange and Broker Uniswap claims that under current definition of an Exchange, it has to be specifically designed for securities trading and in Uniswap case, the majority of volume are obvious non-securities like Ethereum, Bitcoin and stablecoins

Crypto

Uniswap argued that most trading on its platform doesn’t involve securities, even by the SEC’s own standards. It pointed out that a large portion (65%) of its trading volume involves assets the SEC itself has admitted aren’t securities, like Ether, wrapped Bitcoin, and stablecoins. Additionally, the protocol argued that US securities laws wouldn’t apply to most users since it estimate 75% of them are from outside the US. The marketplace said that even if a few security-like transactions took place on its platform, it isn’t a securities exchange. It said a court wouldn’t see it that way because the platform wasn’t built specifically for those transactions.

Crypto