Uniswap had never before made wallet deny listing information available to the general public.
Most addresses were restricted because of associations with stolen money or businesses that mix transactions, like Tornado Cash, whom the US Treasury just blocked.
Yearn Finance core developer Banteg posted the data on GitHub and in a Twitter thread, citing Uniswap programmer Jordan Frankfurt as the source.
Multiple addresses on Uniswap’s blocklist are not known to have committed crimes in the past. This is because no one or organization was given ownership of these domains. Usually, they served as a backup burn address. Some believe that blocklisting it on Uniswap is ludicrous as a result.
A connected ens name is mentioned for 30 of the 253 banned addresses, or about 12%. The majority are undoubtedly real users who have turned into TRM’s backlash.
Why Were These Addresses Blocked?
According to a GitHub graphic, TRM Labs scans addresses for seven types of illegal activity.
The four main addresses that are frequently scanned are related to:
- Money from a recognized fraud
- Money from a transaction mixer
- Stolen money
- Money from sanctioned addresses are
The three remaining categories are:
- Funds used to finance terrorism
- Payments from recognized hacker groups
- Records of child sexual abuse
The three primary parts of Uniswap are open source blockchain code that anybody can interact with, a front-end website that connects users to the code, and a US-based company that creates the protocol and manages the front-end website.
TRM Labs and Uniswap joined forces in April. TRM Labs receives a user’s address when interacting with the Uniswap website and assigns it a risk level. The company must determine how much risk Uniswap is willing to accept.