A federal court in the United States has thrown out a class action lawsuit that accused Uniswap Labs of enabling the trading of fraudulent tokens on its decentralized platform. The case, which lasted more than four years, was dismissed with prejudice.
In a filing with the U.S. District Court for the Southern District of New York, Judge Katherine Polk Failla explained that the plaintiffs did not sufficiently demonstrate that the defendants were aware of the alleged fraud. She also found that the complaint failed to show that Uniswap Labs and its founder, Hayden Adams, knowingly assisted or played a meaningful role in carrying out the scam.
Uniswap Prevails in Class Action Case
When the lawsuit was first filed in April 2022 and later amended in September 2022, the plaintiffs raised 14 claims against Uniswap, Adams, and other parties. They argued that the defendants should be held responsible for scam tokens created and traded through the Uniswap protocol.
Their reasoning centered on the fact that the individuals behind the fraudulent tokens were unidentified. The plaintiffs claimed that Uniswap operated as a marketplace for these assets and earned transaction fees from their trading activity. They further alleged that by creating smart contracts tied to the protocol’s native token UNI, the defendants effectively acted as unregistered broker dealers.
In August 2023, the court dismissed the first amended complaint, stating that it did not present a valid claim under federal securities laws. Judge Failla said the effort to hold the defendants accountable for investor losses was not persuasive. Although the plaintiffs appealed, the appellate court upheld much of the lower court’s ruling in February 2025 and allowed the plaintiffs another opportunity to revise their complaint.
Court Finds No Plausible Claims
The second amended complaint, filed in May 2025, shifted its focus to alleged violations of state law. By that stage, all other defendants had been dismissed except Uniswap and Adams. In July, the remaining defendants moved to dismiss the case under the Federal Rules of Civil Procedure.
In her final ruling, Judge Failla stated that even after three attempts, the plaintiffs had not presented credible claims against Uniswap. She noted that even if the defendants had known about the fraudulent conduct, the complaint still failed to show that they provided substantial assistance to the alleged scammers.
Following the decision, Adams described the outcome as a good and sensible result.#cryptonews https://t.me/coinsignalpublic https://coinsignals.net
