Uniswap Safeguards Community by Blocking “Suspicious” Users

Uniswap has started to block user addresses it considers potentially involved in illegal activities this week. In light of this event, disgruntled users have already commenced reporting this scenario on social media networks.

We want to keep our readers properly informed regarding the latest happenings in the cryptocurrency scene. We believe sharing this new report about Uniswap can aid them this week as they deal with their crypto-asset investments.

Based on the report posted online by cryptocurrency and blockchain technology news outlet D1SoftballNews.com, Uniswap Labs is the popular decentralized trading protocol’s main developer.

It announced this week that it recently reached a deal with blockchain activity tracking company TRM Labs.

Uniswap Labs’ administrators explained in their portal’s FAQ section that they received information from TRM Labs that combines real-world investigations and on-chain data in identifying harmful activities, including financial crimes.

They cited that they intend to only block cryptocurrency wallets belonging to or are associated with clearly illicit behavior. Among these unlawful actions are human trafficking and terrorist financing.

Furthermore, other illegal behaviors Uniswap Labs mentioned are child sexual abuse material, sanctions, ransomware, and stolen or hacked funds.

Uniswap, which is behind the native token $UNI that is trading at exactly US$8.76 at the time of writing per the trading price information posted on Coinmarketcap.com, provided users with more explanations on its website.

The famous decentralized trading protocol’s administrators said that blocking a user address corresponds to the fact that it was identified as having a high chance of being associated with unlawful activity.

The Uniswap Labs organization recognizes the system’s margin of error, claiming users not to expect plenty of mistakes, though the latter are always likely. Tweeter @0x9fd shared a screenshot exhibiting the error message the Uniswap system threw about a user address.

They accompanied the image with a terse comment, saying they strongly advise against utilizing Uniswap. Additionally, the error message claimed that the user address in question was linked with one or more blocked activities.

We respect Uniswap’s decision to block several user addresses. After all, we understand that this platform wants to protect its users.

We gathered that some members of the cryptocurrency ecosystem did not receive Uniswap’s latest measure well. These users have already reported the scenario on various social media networks, which they also used to vent their grievances versus Uniswap.

They argued that being a decentralized protocol, the Uniswap platform should be free of censorship besides opening financial systems for everyone.

We think critics of Uniswap should consider this platform’s reasons for blocking some user addresses. We believe Uniswap is working for the best and the protection of everyone in the cryptocurrency community engaging with it.