U.S. Judge Dismisses Uniswap 'Fraud Token' Class Action, Cites No Liability for Third-Party Actions

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Release Time: 03/03/2026 00:30:40

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Summary

A U.S. federal judge dismissed state law claims against Uniswap Labs and Hayden Adams, ending a class action over fraudulent tokens. Judge Katherine Polk Failla ruled that the company is not liable for third-party misconduct. The ruling supports CFTC goals by clarifying that enforcement actions cannot target developers for third-party activities. Uniswap’s General Counsel called it a key precedent for DeFi.

BlockBeats news, on March 3, according to The Block, a U.S. federal judge has dismissed the remaining state-law claims against Uniswap Labs and its founder Hayden Adams, bringing an end to this prolonged class-action lawsuit. The lawsuit sought to hold the developer of this decentralized exchange accountable for fraudulent tokens traded on its protocol.

U.S. District Judge Katherine Polk Failla of the Southern District of New York issued an order dismissing the plaintiff’s second amended complaint with prejudice, ruling that the company cannot be held liable for the misconduct of unidentified third-party token issuers.

Uniswap’s Chief Legal Officer, Brian Nistler, said this ruling sets an important precedent for the DeFi industry, reaffirming that developers are not liable for illegal activities conducted by third parties using open-source code.

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