Uniswap DeFi on SEC Radar now ?

SEC also known as the security and exchange commission is an organisation in the U.S. In India we have a government body called SEBI (Securities and Exchange Board of India) and more of their work is similar. SEC has been working against many crypto companies in the US, and we are well aware of the situation last year where some of the exchanges have decided to move out of us or are closing their businesses. Till NOW this organisation has been targeting the centralised exchanges but NOW things are going to the Next level.

This morning I read that the SEC notified a decentralized protocol called Uniswap for possible enforcement action. This is the first time this is happening and its like DeFi is on the radar of SEC. They have already issued a notification for a potential action against decentralised finance protocol which is an alarming situation I believe because you never know when they are going to start the official process like they did with many other crypto exchanges. Probably SEC is now trying to target decentralised finance and this is how they might be trying to stop its growth because they know that this has been growing significantly. Many people are participating in different protocols because this is one of the methods where anyone can invest without the involvement of any third party or intermediary.

The U.S. Securities and Exchange Commission has notified of potential enforcement action against Uniswap Labs, the main developer behind one of the world's largest cryptocurrency exchanges, the company said in a blog.

Uniswap has officially published a blog that can be accessed through the link provided above where you can see whatever has happened till now. They have also mentioned that they are going to continue working the same way. This blog post is worth the requirement. DeFi was one of the segments that grew a lot in the last bull run cycle and seems like this time also going to be even bigger. Before the bull run starts looks like the SEC is trying to put a barrier on its growth through some legal action because maybe they are concerned about the significant growth that this segment is getting in the Crypto market.

While the market is getting better and we are heading towards the Bitcoin halving which is just 9 days away from now but still the Bitcoin price is at the good range. Currently, it is hovering around 70,000 US dollars and some people are expecting that around halving there will be some dump in the price but we do not see it happening. Maybe there is some price correction on Bitcoin for about 10 or 20% but certainly, I don't expect it to go below 50,000 U.S dollars.

Again this is the crypto market and we don't know how things will be working exactly but based on the current momentum in the market it looks like the Bitcoin is going to reach around 100K US dollars within this year. Even I read the news that China is going to have its Bitcoin ETF soon and if that happens then we can expect more money inflow in Bitcoin which is anyways going to trigger the price going up and 100K might not be far away. Everything looks good in the market but you never know when something wrong happens and this can create a negative environment around you.

While DeFi can be on the radar for SEC but its the time when we need to get ready for the bitcin halving event. This is one of the biggest events in the crypto market that happens once in 4 years and it is going to be interesting that what the price Bitcoin shows a couple of months post-halving event because the reward for minus is going to be cut by 50%. This way the cost of Bitcoin is also going to increase and this should be adjusted against the price increase which is expected to happen within this year.

Thank you

Posted Using InLeo Alpha

Posted Using InLeo Alpha