NFTs | Jun 5, 2024 Dapper Labs Settles NFT Lawsuit, Highlighting Broader Regulatory Uncertainty Dapper Labs , the creators of NBA Top Shot NFT collectibles , has came to a $4 million settlement on Jun 3, 2024 with a class action group of investors who had sued the company back in 2021. The main issue in the complaint was whether NBA Top Shot Moments NFTs qualified as unregistered securities and that Dapper Labs was effectively offering investment contracts for sale under the pretence of digital collectibles. The plaintiffs contended that, like a stock sale, the firm controlled the NFTs’ supply and future worth.
See: New York Judge Rules Emojis Count as Financial Advice in Dapper Labs Court Case According to Dapper Labs, NBA Top Shot Moments are not securities and they’re more like regular old fashion trading cards . Although this legal outcome does not create a precedent in law, the settlement frees Dapper Labs from the burden of the litigation . On Monday, Dapper Labs Founder, Roham Gharegozlou, shared the news of the settlement and thoughts on platform X: “After discovery, it was understood and agreed that Flow blockchain is a decentralized public network and that digital collectibles like NBA Top Shot are not securities.
These were the main allegations we wanted to prove...
” “The future of our products is fully open and composable, letting owners do anything they want with their assets and letting developers build new and innovative experiences without traditiona.
