Uniswap is facing a lawsuit filed by Bprotocol Foundation and LocalCoin in a New York federal court over the unauthorized use of Bancor's CPAMM technology.
The lawsuit alleges that Uniswap replicated Bancor's patented CPAMM model, which is crucial for decentralized exchanges (DEX) operations, without proper authorization.
Bprotocol Foundation and LocalCoin claim that Uniswap's success in the DeFi market was partly due to implementing patented features without licensing agreements, giving them an unfair advantage.
Uniswap Labs responded to the lawsuit by labeling it as meritless, asserting that their protocol has always been publicly accessible and that they remain committed to transparency and innovation in the decentralized finance sector.