Uniswap vs. SEC: UNI Price Drops Over 15%

The price of Uniswap dropped over 15% after the team declared readiness to fight against the threat from the Securities and Exchange Commission (SEC). Hayden Adams, the founder of Uniswap Labs, stated that the company is "ready to fight" after disclosing receiving a notice of potential enforcement action. The Uniswap token (UNI) hit its lowest level in six weeks, falling to $9.39 after announcing it had received a notice of possible lawsuit from U.S. regulators.

The 15% drop in the UNI price from $11.21 to $9.39 within an hour of receiving the notice from the SEC caused concern in the markets. However, Uniswap declared its readiness to fight, emphasizing that it did not disclose the exact content of the notice.

Reactions to this notice varied. Bill Hughes, director of regulation at Consensys, noted that the decision to sue must be approved by five SEC commissioners, including Chairman Gary Gensler. However, Hughes emphasized that the referral to court was predetermined, but there was no formal lawsuit yet.

Ultimately, the dispute between Uniswap and the SEC represents a significant moment for the future of decentralized exchanges. Whether Uniswap will defend its position or the SEC will lead to changes in cryptocurrency regulations are questions that could have a huge impact on the entire market.

*This is not a financial advice