New York State Attorney General Letitia James has reportedly intensified her regulatory crackdown on the cryptocurrency sector by targeting decentralized finance (DeFi) platform Uniswap.
Last month, James’ office issued subpoenas to several venture capital firms that have invested in Uniswap, including Andreessen Horowitz (a16z) and Union Square Ventures, according to internal memos and sources familiar with the situation.
The subpoenas are part of a broader investigation into Uniswap, which has come under increasing scrutiny from U.S. regulators. A Uniswap spokesperson said in an emailed statement:
“Uniswap Labs is a proud ‘Made in New York’ pioneer of DeFi technology that provides a better and more equitable path to financial services for all of us. We do not want to burden anyone with unnecessary subpoenas. However, we are always open to dialogue with any government agency or elected official about the future we can build together, especially when we support responsible DeFi innovation in our own state.”
This development follows a recent action by the US Commodity Futures Trading Commission (CFTC), which ordered Uniswap Labs to pay $175,000 in damages and cease and desist from violating the Commodity Exchange Act.
Earlier this year, the U.S. Securities and Exchange Commission (SEC) issued a Wells notice to Uniswap, alleging that the DeFi platform Uniswap was operating as an unregistered securities broker and exchange. The SEC also reportedly sent letters to a16z and Union Square Ventures regarding their involvement in Uniswap.
*This is not investment advice.
