In April, the U.S. Securities and Exchange Commission (SEC) issued a Wells notice to the leading Ethereum DEX Uniswap Labs, accusing it of operating an unregistered securities exchange, engaging in unregistered brokerage or clearing activities, and even issuing unregistered securities, potentially facing legal action risks.

Now this storm has finally subsided, as Uniswap Labs announced early this (26th) morning that the SEC has officially concluded its investigation and taken no enforcement action. The official described this as a "major victory for DeFi" and emphasized:

"This again proves the fact we've always believed in - the technology we've built is on the right side of the law, and our work is on the right side of history."

Uniswap: DeFi is the future, and the U.S. can now lead this trend

Uniswap Labs further stated in a statement that DeFi is improving financial markets, allowing users to trade instantly, securely, and transparently without relinquishing control of their assets.

At Uniswap Labs, we are committed to expanding the accessibility of DeFi through technology, enhancing liquidity and price transparency, reducing reliance on intermediaries, and lowering transaction costs. The products we've built not only serve users, but also strengthen the entire financial system.

Uniswap also expressed its appreciation for the new SEC leadership, believing they are re-examining enforcement investigations and litigation within the industry, not just in the Uniswap case, and recognizing more effective ways to protect U.S. consumers.

The conclusion of this investigation is not just a victory for Uniswap Labs, but a shared victory for the DeFi community, developers, and users, as we are working to build a better financial system.

Finally, Uniswap reiterated that they have always been willing to engage with regulators and policymakers to establish a clear and reasonable DeFi regulatory framework, and look forward to more constructive discussions in the future.

Hayden Adams: The SEC investigation cost us 3 years and millions of dollars

In this regard, Uniswap co-founder Hayden Adams elaborated that the SEC (previous administration) investigation lasted 3 years, forcing them to spend countless hours and millions of dollars, even bringing personal-level stress. He pointed out:

The intrusiveness and pressure of federal investigations are immense, to the point that there is a legal saying: "The investigation itself is the punishment." But this should not be the price American innovators have to pay.

He emphasized that Uniswap Labs is not a broker, the Uniswap protocol itself is not an unregistered exchange or clearing agency, and it is not operated by Uniswap Labs. Furthermore, the UNI token is not a security.

However, the SEC still took enforcement action against Uniswap Labs, even without a clear legal basis, attempting to arbitrarily enforce and force DeFi into a regulatory framework that does not fit its nature, while not providing clear rules or compliance paths.

Now, these SEC allegations have been dropped, allowing him to express that this victory belongs to the entire DeFi ecosystem:

This again proves our long-held position: decentralized technology and self-custody are fundamentally different from the centralized intermediary systems they are replacing.

He further pointed out that self-custodial financial applications running on public blockchains via smart contracts have brought unprecedented transparency to the financial markets. Directly applying the regulatory framework designed for the opaque, centralized traditional finance (TradFi) market to DeFi simply does not work.

Finally, Adams expressed gratitude for the new SEC leadership's more constructive regulatory approach, and looks forward to future collaboration to ensure DeFi can thrive in the U.S. rather than being forced to move overseas.

The SEC (under the previous admin) tried to claim that Uniswap Labs operated an unregistered broker, exchange, and clearing agency, and issued an unregistered security. Those claims have now been dropped. Uniswap Labs is not a broker. The Uniswap Protocol is not an unregistered… https://t.co/uVPgkN35DT

— Hayden Adams (@haydenzadams) February 25, 2025