Uniswap wins again in New York court as judge draws new line on DeFi liability

A federal judge in New York, Katherine Polk Failla, dismissed fraud claims against Uniswap for the second time, ruling that platforms providing neutral infrastructure cannot be held liable simply because bad actors exploit their tools. This decision applies the principle that operating general-purpose infrastructure, which enables both legitimate and illegitimate activity, does not meet the legal standard for secondary liability, which requires specific knowledge of wrongdoing and substantial assistance. The plaintiffs had argued that Uniswap's interface amounted to "aiding and abetting" fraud, especially since a high percentage of traded tokens were scams. Judge Failla's ruling aligns with precedent, such as *Twitter v. Taamneh*, and suggests that if new rules regarding platform liability are needed due to the scale of internet fraud, that decision belongs to Congress, not the courts. The ruling provides a clearer safe harbor for interface developers and middleware providers operating genuinely neutral systems, forcing victims to pursue actual wrongdoers rather than convenient, deep-pocketed defendants.

(Source：CryptoSlate)