NFT News
NFT Roundup – Sotheby’s, Hollywood, Casinos, and the Singapore High Court
After a dramatic surge in popularity accompanied by sky-high values, the growth in NFT sales has plateaued this year amid a brutal crypto winter. It's pretty obvious that the days of meme-fueled NFTs raking mullah are long gone.
So, the old ways just won't cut it anymore. Instead, NFTs must tap into the powers of utility to unlock the next level of growth. After all, utility is an essential component that will catalyze its mainstream adoption, adding value and functionality to the technology.
For example, luxury brands like Louis Vuitton are collaborating with next-gen sneakers studios RTFKT, which Nike owns, to release an NFT collection and experience and, in the process, bring something unique to the NFT sector.
Then there's an animated, comedy-based, NFT-powered TV series called ‘Krapopolis' which launched its own NFT Marketplace, where Krap communities can buy, sell, and trade NFTs of the chicken from Krap, giving collectors access to exclusive content and private events.
There's so much happening in the fast-moving world of NFTs, even amid a slowdown, that people find it hard to keep track of everything. Therefore, to save you time, we did all the hard work to bring you some most interesting events from the world of NFTs. Let's dive straight into it without further ado.
Sotheby's is hosting the ‘Xperience Digital Art Auction'
The 277-year-old British auction house Sotheby's is going deeper into the world of NFTs by hosting the “Xperience Digital Art Auction” on October 27th.
The auction aims to bring together a curated selection of digital art using cutting-edge technologies, from AI-generated art and holograms to generative art responding to the foreign exchange market.
To much delight of crypto users, Sotheby's also accepts crypto payments, including BTC, ETH, and USDC, but only from selected exchange wallets such as Coinbase, Fidelity, Gemini, and Paxos.
NFTs Going Mainstream: LOTR, Lamborghini, & Anthony Hopkins Joins the Bandwagon
The Oscar award-winning actor Anthony Hopkins is the latest one to jump the NFT train. Hopkins has teamed up with Web3 creative studio startup Orange Comet to create and launch his first NFT series, the Eternal Collection. The collection is inspired by characters Anthony Hopkins has played throughout his career.
“NFTs are a blank canvas to create art in a new format,” is what Hopkins says about NFTs. The first 1,000-piece collection of NFTs actually sold out within minutes.
Among brands, Lamborghini is the latest one to come up with an NFT collection through its project called “Epic Road Trip,” which will last from April 2022 to March 2023.
However, the luxury sports car manufacturer is not new to the world of NFTs, as it has been regularly dropping NFT collections to provide unique experiences, a VIP tour, and an exclusive premier of its first-of-its-kind new model in the Metaverse. These NFTs are limited editions, with only 1,963 to be released, each priced at $196.30.
Such is the lure of NFTs that even Warner Bros couldn't resist from launching an NFT collection, compelling it to release a series of NFTs related to The Fellowship of the Ring movies in collaboration with Eluvio.
Regulators Taking Notice: Stop Selling NFT Securities
The regulator's interest in brands selling NFTs is at an all-time high today, but not really in a positive way. Its prime example is the virtual casino Slotie, which has been ordered to cease selling securities immediately to investors, pending proper registration.
State securities boards in Texas, Kentucky, New Jersey, and Alabama have accused Slotie of misleading investors and ordered it to stop selling its NFTs to retail investors immediately. In one of those orders, Acting Division of Securities Commissioner Amy Copleton accused the company of misleading prospective investors about its sales, saying a batch of 10,000 NFTs sold out within minutes, with no proof.
Slotie, which operates gambling games in over 150 virtual casinos, has 30 days to comply with the orders, or else its operators risk jail time in addition to fines, should they be prosecuted and convicted.
Earlier this month, Bloomberg reported that the SEC is investigating whether Yuga Labs, the creator of the prominent Bored Ape Yacht Club (BAYC) NFT collection violated securities laws in its promotion and selling of NFTs.
Singapore is Friendly: Considers NFT as Property
While in the US, whether or not to recognize NFTs as a separate digital asset is still a hotly debated question, NFTs seem to have won acceptance as a valid form of property in Singapore.
The recent ruling from the Singapore High Court recognizes NFTs as a protected digital asset and a form of legitimate property under the purview of an entirely commercial dispute. This is a first-of-its-kind ruling on NFTs globally.
The ruling granted NFTs a status of a property with a value different from just records in the blockchain. As such, it defined NFTs as digital assets with corresponding rights, which owners can claim in court, and which courts recognize as collateral.
However, based on the premise that NFTs are conceptually different from the underlying assets they represent, purchasing the NFT does not confer the purchaser with all rights, including intellectual property rights, to that asset.
NFT buyers are granted permission to use, copy, and exhibit underlying works of art for specific, limited purposes, including personal, non-commercial use, or to use in connection with online markets for selling and trading the NFTs representing artwork, in most cases. It can also be used in conjunction with digital and physical artwork to set attribution.
But this doesn't put an end to the regulatory aspect of NFTs, and courts will be facing many novel questions regarding ownership, possessory interests, and intellectual property protections for digital assets such as NFTs.
