CRYPTOCURRENCY
“ not your keys , not your money ”, and the question of custody is twice as tricky when it comes to in-game purchases .
“ NFT owners face multiple risks including cyber-attacks , theft , and IP infringement ,” Whittaker says . “ English law has evolved quickly , for example , to allow asset tracing of NFTs and legal documents to be served via NFTs . In New York , an artist who created NFTs was successfully sued by Hermes for their infringement of Hermes ’ trademarks .
“ However , IP holders and NFT owners still need to have the understanding and finances available to pursue legal action . The starting point is that prevention is better than cure ; IP holders and NFT owners need to understand the risks specific to their property and what practical steps they can take to safeguard , monitor , and then enforce their rights .”
“ It is possible that we will see greater scrutiny and regulation of NFTs in gaming in the future ,” Gamesta ’ s James Rodd acknowledges . “ This could come from both industry groups and government regulators , who may be concerned about consumer protection and the potential for NFTs to be used for illicit purposes , such as money laundering . However , regulation can also provide clarity and legitimacy to the use of NFTs in gaming , and can help to build trust among consumers and investors .”
Lessons for NFTs to learn from controversial ‘ loot boxes ’? One particular concern around the emergence of NFTs in gaming has to do with an existing in-game mechanic called ‘ loot boxes ’, which have been popular as a
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