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Uniswap Labs Fined $175,000 Civil Penalty by CFTC, Ordered to Cease Illegal Derivatives Trading

Sep 4, 2024, 03:43 PM

The U.S. Commodity Futures Trading Commission (CFTC) has issued an order against Uniswap Labs for offering illegal digital asset derivatives trading. The decentralized exchange has agreed to settle the charges by paying a $175,000 civil penalty and ceasing the illegal activities. The CFTC's action claims that Uniswap Labs provided leveraged or margined retail commodity trading through its decentralized protocol, violating the Commodity Exchange Act (CEA). The order also includes a cease and desist directive. Commissioner Summer Mersinger dissented, advocating for rulemaking rather than enforcement actions.