Uniswap Labs, the main developer of the decentralized exchange Uniswap, began blocking the addresses of wallets that engaged in illegal activities.
Uniswap Labs began partnering with blockchain analytics company TRM Labs to do this. Address blocking will work at the frontend level.
TRM Labs is flagging sub-sanctioned and illegal activity-related cryptocurrency wallets for Uniswap. The company also said that TRM Labs will operate independently of Uniswap.
Earlier, Ethereum mixer Tornado Cash made a similar move.