JPMorgan Closes Uniswap Founder's Bank Accounts

Uniswap its founder Hayden Adams tweeted Sunday that JPMorgan Chase has closed his bank accounts without giving notice or an explanation.

"I know many individuals and companies who have been similarly targeted simply for working in the crypto industry" wrote Adams. "Thanks for making it a personal."

 

Adams the bank accounts of Adams were shut down the week before. The move came only a few months after Adams was reportedly investigated by the US Securities and Exchange Commission (SEC) began investigating Uniswap Labs, the main designer of the world's biggest decentralized exchange system Uniswap.

This move is seen as one of the indicators that banks are targeting crypto. Brian Quintenz, Commissioner for the Commodity Futures Trading Commission (CFTC) said: “If the auditor tells a bank that a particular client is too risky and the bank terminates that relationship, the bank is contractually prevented from telling that client why.”

In September The Wall Street Journal reported, in a report citing "people who are familiar with the issue," that the SEC enforcement lawyers are investigating Uniswap Labs about how investors utilize the decentralized exchange system and the way it is promoted.

In the meantime the incident, a Uniswap Labs spokesperson told The Journal that the company is "committed to observing the regulations and laws that govern our industry , and will provide information to regulators to help them in the event of an question."

Brian Quintenz, the former chairman of the US Commodity Futures Trading Commission (CFTC) who currently is an advisor at the investment firm focusing on crypto Andreessen Horowitz, weighed in on the subject.

It isn't the first time that JPMorgan Chase has closed an account belonging to a crypto director or a crypto company. The bank in 2018 shut down the account for Erik Voorhees, founder of the cryptocurrency exchange ShapeShift. The bank also closed an account belonging to the payroll account of the crypto exchange Kraken.

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