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esp

Uniswap's motion to dismiss the class action lawsuit over fraudulent tokens was fully granted, with the court ruling that the platform is not responsible for third-party actions

A U.S. federal judge ruled to dismiss the remaining state law claims against Uniswap Labs and its founder Hayden Adams, ending a years-long class action lawsuit.The plaintiffs attempted to hold the platform liable for losses incurred from "scam tokens" traded on the Uniswap protocol. Judge Katherine Polk Failla of the Southern District of New York issued the ruling on Monday, dismissing the plaintiffs' second amended complaint "with prejudice," stating that the plaintiffs failed to present a viable legal claim. The court noted that the plaintiffs had multiple opportunities to amend their complaint but still could not demonstrate that Uniswap was responsible for the misconduct of unnamed third-party token issuers.The plaintiffs claimed to have suffered losses due to actions such as "rug pulls" and "pump-and-dump" schemes, arguing that Uniswap "aided fraud" by providing a platform for buyers and sellers to trade. However, the court clearly stated that merely providing a decentralized trading platform does not constitute "substantial assistance" to fraudulent activities. Judge Failla reiterated her previous view that holding developers of smart contract code responsible for the abusive actions of third parties on decentralized platforms is "logically difficult to sustain."The case was initially filed in 2022 and originally included federal securities law claims. The related securities claims were dismissed in 2023, and the Second Circuit Court of Appeals upheld that ruling, remanding the remaining state law claims to the district court for consideration. This ruling signifies the formal conclusion of the case and further tightens the boundaries of state law liability for DeFi platform developers.

Coinbase's Chief Policy Officer Responds to "White House Agreement Goals May Fall Through": Has Committed to Multiple Potential Compromise Solutions on Stablecoin Yield Issues

Coinbase Chief Policy Officer Faryar Shirzad posted on the X platform in response to "the White House's agreement goals may fall short." He stated that Coinbase and the company's CEO Brian Armstrong have been involved in negotiations for months and have committed to several potential compromise solutions. Coinbase's core goal has always been to protect the interests of the GENIUS Act and the general American public. He also thanked Patrick Witt, Executive Director of the President's Digital Asset Advisory Council, for his efforts in pushing for problem resolution and looks forward to the smooth implementation of the President's crypto agenda.According to senior journalist Sander Lutz from crypto media Decrypt, the White House originally hoped to reach an agreement on stablecoin yield issues before the weekend, but a banking industry insider directly involved in the negotiations stated that this goal would not be achieved. The current divide between the crypto industry and banking lobbyists regarding whether stablecoins should generate yield remains significant. This controversy has become a major obstacle to advancing the crypto market structure bill and directly points to Coinbase CEO's insistence that stablecoins should be able to generate yield for users.According to previous reports from ChainCatcher, David Sacks, the White House's crypto and AI director, stated that the crypto industry has made significant concessions regarding stablecoin yields, and banks should respond accordingly.
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