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WARNING! Why NFT creators are in for a huge shock – here’s what you need to do NOW!


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It’s no secret that the world of non-fungible tokens is growing rapidly. But with that growth comes a whole new set of challenges for NFT creators. In this blog post, I’m going to outline some of the things you need to be aware of if you’re planning on creating an NFT. So without further ado, let’s get started!

NFT creators might not know it yet, but there’s an important legal shift happening right right now that will affect all NFT creators in the very near future. Since 2022 began, the lawsuits have been rolling in. Each and every day companies like Nike, Hermes, and dozens of others are cracking down on NFT creators for trademark and copyright infringement.

You heard it here first: 2022 will be known as the Year NFT Litigation exploded!

What?  How can that be?  

Yes, the world of NFT creation has been like the wild west; but it’s about to get tamed. I’m recording this video in February and already dozens of companies have begun cracking down against projects that violate copyright, trademarks – you name it! If you haven’t heard, let me give a few examples…


In a move that has caused quite the stir in both the luxury fashion world and NFT space, Hermes filed suit against Mason Rothschild over his Meta Birkins brand. The claim states “defendant’s products simply rip off the famous Birkin trademark by adding generic prefix ‘meta’ to it.” It’s been reported how one MetaBirking NFT sold for $42 thousand dollars back in December – not bad when you consider the real Birkins retail between 9-12k!


On February 4th, Nike filed a lawsuit against StockX for trademark infringement on Nike sneaker NFTs. The sneaker company claims the reseller has sold nearly 500 Nike brand sneaker NFTs impacting Nike’s reputation and legitimacy.  


Also on February 4th, RIAA, the Recording Industry Association of America, sent a cease and desist letter to NFT start-up HitPiece.  HitPiece had an ambitious plan to sell NFTs of every song ever made. To achieve this, they accessed Spotify’s public API and simply started minting NFTs on their own “HitChain”, which runs alongside Ethereum.  Shutting down its operations in response, Hitpiece told the world: “We started the conversation And we’re listening.”


In many ways, the current NFT and crypto marketplace has a great deal in common with the internet of the late 90s and early 2000s. Today in the NFT world, just like back then when digital music sharing became gigantic, there is little regard for copyright law (or other kinds of intellectual property).  OpenSea, the largest marketplace for NFTs, admits that some 80% of the NFTs it hosts are infringing in one way or another. You simply cannot have a legitimate market that trades almost entirely in illegitimate goods.

NFT creators should learn from the digital music sharing history.  Over the years, the recording industry has filed, settled, or threatened legal actions against at least 30,000 individuals. These individuals have included children, grandparents, unemployed single mothers, college professors—a random selection from the millions who have used peer-to-peer networks. 

I predict this is a vision of the fate of the future for many NFT creators.


So let’s get down to business.  In the first half of 2021, NFT sales reached $2.47 billion, and those sales figures show no signs of slowing down. Of course you want to get a piece of the action.  And you can.  Get ready, I’m now going to give you the secrets to creating your own NFTs without any risk from being targeted in an upcoming infringement lawsuit and losing it all.

Your first line of defense: use your own unique content. 

The second line of defense – be sure you have permission to use anyone else’s content.

Your third line of defense – if you don’t know where it came from or who owns it, take it down.

The future of the NFT industry is uncertain, but by following the guidelines in this post and video you can create them without any risk. Be sure to subscribe to my YouTube channel for more videos on NFT legal dangers. Thank you for reading!

If you’re a NFT entrepreneur or creator and serious about growing your business while avoiding the hidden legal dangers, jump on my calendar.

About Sagacity Legal:
Sagacity Legal is a Florida-based firm that works with service-based small business owners, who want to minimize their legal risk so they can focus on achieving their full potential.

This article and all content herein is solely intended for general information purposes and should not be construed as legal advice in any manner. This information is not intended to create, and receipt or viewing, or communication via email or other means does not establish an attorney-client relationship. An attorney-client relationship is only formed when a written engagement agreement is executed. We disclaim all liability in respect to actions taken or not taken based on any or all the contents of this website to the fullest extent permitted by law. Do not act or refrain from acting upon this information without seeking professional legal counsel.

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