Uniswap Launches Product In The Midst Of Lawsuit, UNI Reacts To The Downside
April 14 2022 - 2:00PM
NEWSBTC
Uniswap’s governance token UNI has been trending to the downside
following the general sentiment in the market. The token records a
2% loss during the last day as two major events take UNI holders’
attention and could suggest more downside price action for the
short term. Related Reading | Uniswap Registers Yearly Low:
Vital Trading Levels To Follow At the of writing, UNI trades at
$9.4 with a 6% loss in the past 7-days. Yesterday, news broke about
a class action lawsuit against this decentralized exchange (DEX)
developer Uniswap Labs, its inventor Hayden Adams, and other major
investors in the project. Filed as a class action in the Southern
District of New York with Nessa Risley representing the plaintiffs.
These people are suing Uniswap Labs and others claiming that they
have “unlawfully promoted, offer, and sold unregistered securities”
on the DEX. In addition, they claim that Uniswap’s lack of a Know
Your Customer (KYC) policy has enabled alleged cases of fraud
without the DEX taking measures to prevent these supposed
activities. Furthermore, the plaintiff claims the DEX and the
defenders have benefited from “undisclosed fees” collected on
“every transaction” executed with the platform in an alleged
violation of the U.S. Securities laws, according to the document.
The plaintiffs also accused the platform of selling scam tokens.
These include Rocket Bunny, BoomBaby.io, Matrix Samurai,
EthereumMax, and others. The plaintiffs claimed these tokens failed
to file a registration with the U.S. Securities and Exchange
Commission (SEC). Uniswap is a decentralized exchange running on
Ethereum and operating under a governance model controlled by UNI
holders. Unlike centralized exchange it is permissionless, and its
smart contracts respond to no centralized authorities for the
benefit or detriment of any party. According to the document filed
with the court, Risley and the other plaintiffs were not familiar
with Uniswap. At least, the document suggests they have little
experience trading on the platform before incurring alleged
“substantial losses” which led to their lawsuit. Uniswap lawsuit
has me rolling. She needed consistent disclosures to figure out
that "Rocket Bunny Token" and "BoomBaby" and "Matrix Samurai" were
not legitimate, sensible investments. 💀💀💀
pic.twitter.com/N1qq8uoZnz — Cobie (@cobie) April 14, 2022 Uniswap
Releases New Product Less than 24 hours after the class action was
filed, Uniswap Labs launch a Swap Widget feature to allow users to
“seamlessly swap tokens anywhere across the web”. The dApp is
accessible via certain platforms, such as Open Sea and Oasis. 1/✨
Today, we're excited to announce the launch of the Swap Widget
which allows users to seamlessly swap tokens anywhere across the
web 🙌 Find the Widget already on your favorite apps like @opensea,
@FWBtweets, & @oasisdotapp pic.twitter.com/SzQ95t5sEs — Uniswap
Labs 🦄 (@Uniswap) April 14, 2022 The product is part of an Uniswap
expansion initiative which is aim at providing “everyone” with
access to “fair, open, and transparent markets”. The Widget is
supposed to be easy to integrate by developers as it would only
require “one line of code”. Related Reading | Ethereum At
$3028, Where Is The Next Critical Support Level For ETH? The
Uniswap community has positively reacted to the announcement.
However, the DEX’s native token has trended to the downside, likely
due to its correlation with Bitcoin and other larger
cryptocurrencies.
Uniswap (COIN:UNIUSD)
Historical Stock Chart
From Aug 2024 to Sep 2024
Uniswap (COIN:UNIUSD)
Historical Stock Chart
From Sep 2023 to Sep 2024