Most NFT collections do not convey any Intellectual Property rights over the work, but do those who acquire the non-fungible tokens know this? According to Galaxy’s study “An investigation into NFT licensing: facts and fictions”, there are two main problems:
– The buyer is unaware that he or she is not acquiring the intellectual property of the work.
– The seller omits information, or uses misleading terms, to hide the fact that he is not transferring the IP right to the work.
This happened, for example, in the case of Jodorowsky’s Dune. The crypto group Spice DAO paid $2.66 million for one of the original copies of the Chilean-French director’s book “Dune” with the images, illustrations and sketches for his attempted 1970s adaptation of the science fiction classic.
His idea, when he acquired the book, was to produce a series and sell the rights to a streaming service, but owning the book, even if it was original, did not grant him any rights to his intellectual property. Having an original copy, or having an NFT, does not mean that you have the rights to the work, let alone that you can generate a new product. The rights remain in the hands of the creator.
The way is to be well advised, and this is where ELZABURU comes in. Talk to our experts.