Is your NFT really yours?

My precious – Who has not contemplated his NFT lovingly and blissfully happy to have her precious non-fungible token? Once the excitement of the first moments has passed, after having zoomed in, zoomed out and analyzed your beloved acquisition, you are satisfied with this authentic property.

But have you wondered if this NFT was really yours? the Copyright giving access to the Intellectual property are works of art, for example, explained to you frankly? What public use can you make of your NFT? What is the effective recognition of his property and his authenticity in our society ?

Deed of ownership of the web 3, certificate of authenticity of the future, non-fungible tokens impose themselves as an authentic representation of our image in the metaverse. Key tools, challenges for our ecosystem, the promise of a useful future for all of us, the conditions governing their use are still unclear. A godsend for the giants of Web 2 who intend to adapt them to their economy.

In order not to get lost in the Meta-Hebdo:

Ready Steady ? NFT!

Big brands on the podium of NFT sales

NFTs are probably i most web technology 3 used by the giants of the Web 2. This is demonstrated by data from Dune, a blockchain analytics company:

“Table of final statistics of the brand” – Source: Dune

In this roll of honor, we note that the sports brands and the luxury brands they look good Nike, on its eastern side hands down first. The owner of the studios RTFKT raised $ 185.42 million in revenue from its NFT collections last year.

So, despite the ice age that is sweeping the cryptocurrency ecosystem, these diverse data show us that the year wasn’t that bad. Brands have been able to exploit web technologies 3, they have brought NFT. The volume of NFT trading on the Ethereum markets is a reflection of this success.

Ethereum Markets Monthly Trading Volume – Source: Dune

Real world stellar NFTs …

This success is not only visible on blockchain data. The news is marked by the big brands that launch the NFT collections. Celebrities are not excluded. Paris Hilton, metaverse and NFT addict, announced its partnership with The sandbox. Beyond the sequins, the star offers a greater legitimacy to Sebastien Borget’s pixelated metaversewho attracts the queen of Roblox into his nets.

The latest novelty of this kind is still the partnership of Snoop Dogg with Eminem. The two artists will now do the show in Otherside, again with Yuga Labs for the MTV Music Awards. They will present their title From D 2 to LBC similar to their music video in the annoying monkey metaverse. Additionally, Metaverse concerts will now have their own category at the MTV Music Awards.

… muses of the metaverse

But that is not all. The use of the brand is not a one-way street, quite the contrary. In the same way we find the sign BAYC in the real world, the Snoop Dogg brand can also be found in the metaverse. In the season 3 of The Sandbox, the first tests consist in seeking Steve Aoki And Snoop Dogg. Visiting an NFT Bored Ape Yacht Club art gallery is also a must to progress in the game.

The metaverse is then stormed. It promises mountains and wonders through these different partnerships. Clinging to this ecosystem that is worth gold, how do these big web 2 and web 3 companies defend the rights of their NFTs?

Snoop Dogg matches our Crocs in The Sandbox metaverse – screenshot

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What’s the point of having a non-fungible token if you can’t do anything about it?

Do we really own our token?

In the beginning, yes. Hand. A recent report from Galaxy Digital develops precisely the question of property within the NFTs of major brands. Full ownership of our NFTs is, according to the report, only illusory.

In fact, the image we have of an artistic work, the development of a project or the presentation of a concept, for example, or is it, on the contrary, a simple jpeg? Therefore, it is a matter of understanding the difference between a NFT user license and the intellectual property relating to copyright. In this sense, the report chooses a simple and pertinent example. When we buy a DVD, the DVD belongs to us. However, not the movie. The same is true, in fact, for the largest collections of NFTs.

Licenses: the law of NFTs

The rights of our NFTs are therefore governed by licenses. To have a property right, an agreement between the owner of the image and the owner of the NFT is required. There are therefore different types of licenses, the report classifies them as follows:

  • “Commercial rights” : the NFT is therefore a monetized work of art, without a roof and without duration over time. No intellectual property rights accompany it (Azukithe BAYC ecosystem);
  • limited commercial rights »: Monetization is limited in time, income is also regulated (Cryptokitties, Doodles NFT);
  • ” personal use ” : limited right to view and monetize the NFT, even prohibited (Time Pieces, Adidas originals);
  • Creative Commons »: The NFT is in the public domain. The owner therefore owns an NFT which in a sense belongs to everyone.

Conditional property

The buyer’s rights over the NFT it acquires therefore derive from the user license and sometimes even Terms and conditions allowed in the ecosystem of the project. For example, for a game to earn a game likeAxie Infinitea license determines the use of NFT in a particular context, particularly in the context of competitions for the creation of content.

However, the use of NFT in the game and in the world of Axie Infinity is determined by Terms and conditions game specific. For example, when you have an Axie Infinity NFT, you can lend it. However, we will not be able to play it as we would like. The Axie really risks leaving for Axies prison. suspected of treason and banned from the game.

Modifiable and adaptable according to the needs of a project, these licenses are therefore proof of a limited ownership and sometimes diverted of our NFTs. Some giants aren’t shy about changing the ownership conditions of their NFTs quite abruptly. Yuga Las, for example, decided 6 months after the acquisition of CryptoPunks to no longer grant intellectual property to crested NFTs. The Moonbird project he also decided to change his license. The names of the birds and other chirps then spread on Twitter. Faced with the facts, the report then concludes with this observation:

“Consequently, for the vast majority of NFT projects, owning NFT doesn’t mean owning the corresponding digital content that appears when you sync your wallet with OpenSea. This content is ultimately owned and held by the copyright owner associated with that digital content, usually the NFT project. “

Has MoonBirds recently changed ownership rights on its NFTs?

NFT 2.0 or NFT 3.0?

Web-style NFT 2

Originally born with the Web 3 philosophy that saw a entire property engraved on the blockchain, NFTs have therefore developed use cases. They have also become increasingly popular. Collectables, works of art, digital packages, certificates are all uses that we can see of non-fungible tokens.

Yet with the growing interest of Web 2 giants in Web 3, ownership of an NFT in its entirety is therefore not taken for granted. It is governed by the a regulation which threatens the cryptographic sphere and contaminates the principles of creating non-fungible tokens. Rarity and authenticity therefore seem abused, derided. Where the unedited should have a full place for the buyer, it is ultimately the broadcaster that really seems to hold the rarity of the NFT. However, and let us never forget, it is the rarity that makes the value of the supply and the strength of the demand.

Locked in their corset, NFTs can only live in the ecosystem conditionally. They therefore suffer from the shackles of the web 2. Furthermore, the regulation seems to be tightening more and more ties. Also, the partnerships like Snoop Dogg and Eminem that we talked about at the beginning of this article and Snoop Dogg’s presence in the metaverse are likely framed by commercial conditions and governed by the laws deriving from the use of Internet 2.0.

NFT in the clouds

Beyond the technique, at the moment the various agreements are necessary to allow the ecosystem to develop. This is reminiscent of the complex and restrictive agreements of the specific terms of use of the top web sites 2.

The use of metadata NFTs also question themselves. In fact, the use of a cloudsWhile essential with current technologies, it places limits on a Web 3 approach to NFTs. It is therefore not a question of overloading projects. However, the metadata that make up the image of our NFTs are stored on servers such as those of Amazon Web Serviceunlike our NFT contract which is on the blockchain.

So the original impulse, the creative act and the contract on the blockchain come from the principles of the web 3. However, the S.metadata storage in the cloud typically it is a use of data by the Web 2. Blockchain Ethereum or Solana I’m for example, much to the dismay of some members of the crypto community, in this case. If we schematize, we treat NFTs as web 2.

Decentralization, the backbone of NFTs

NFT projects therefore strive to develop rights around their NFT. The report of Digital galaxy highlights collection efforts Women’s world, which in its license confers property rights on its holders. The limits of the Galaxy Digital report are then plotted in this observation.

Indeed, let’s take a step back. Beyond the NFT itself and the licenses surrounding it, they may allow access to decentralization. Proof of governance, proof of belonging to a community, privilege of obtaining returns in cryptocurrencies The NFT seems to be in contact with the ecosystem and above all the metaverse to take on another dimension and bring participatory rights.

other sidethe metaverse Bored Ape monkeys offers a use of NFT within a universe and ecosystem that includes a CAD. Thanks to this governance enabled by the possession of an NFT, the future of the project is built with the community. You Sandbox and Decentraland insist on the importance of creation. Therefore, in The Sandbox the intellectual property on the textures belongs to the metaverse. However, NFT and game designers retain copyrights on their creation.

The arrival of Gafam in our ecosystem it has therefore proposed a centralized and obsolete use of NFTs. However, and let us remain realistic, the more decentralization is regulated, the more complicated it will be to apply it as it should. In the face of these various findings, it seems obvious that NFT holders will have to struggle to keep their rights to what belongs to them. The war machines of Web 2, covered by complicated and not necessarily explicit licenses, keep their collections in check. Agreements seem necessary to adapt the technologies of the web 2 to those of the web 3. Therefore, the NFT ecosystem can develop peacefully.

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