(Reuters) – The US Securities and Exchange Commission is investigating Uniswap Labs, the lead developer behind one of the world's largest cryptocurrency exchanges, Uniswap, the Wall Street Journal reported on Friday, citing insiders.
Enforcement officers are looking for more information about how investors use Uniswap and how it is marketed, the report says.
Uniswap did not immediately respond to a Reuters request for comment.
The SEC's investigation into Uniswap Labs comes my growing interest in regulating cryptocurrencies and the digital asset market, with President Gary Gensler urging Congress last month to give the agency more authority for better police crypto trading and lending.
Uniswap is a crypto market for decentralized finance or DeFi developers, traders and liquidity providers. DeFi is an open network and operates on a peer-to-peer system, where transactions are not routed through a centralized system such as a bank or a broker.
Mr. In August, Gensler had urged lawmakers to give the SEC more power to monitor DeFi platforms that are not regulated in the United States.