Greetings everyone!π
The digital revolution has begun with the rise of NFTs, and this digital transformation is benefiting the gaming, music, art, and real estate industries. π
However, there is one problem that has always been with crypto and NFTs, too, and that is the legal framework.π There is no regulation with an NFT, which is why owners feel like the things that are owned by them are not really theirs.
Because once you buy an NFT or create it, it is yours, and this is the rule of decentralization, πͺbut it is not regulated, so every country has different rules for crypto and crypto-related technologies, including NFTs.
Decentralization does not require government or legal authorities,π but these authorities and governments also want to maintain control over NFTs.
You can mint multiple NFTS of a single product,βοΈ for example, if you have launched one music, then you can create multiple NFTS of that music, but in reality, it will be yours.
Now, if someone buys that music NFT, then that does not mean that particular buyer will become a creator of that music,π but that buyer owns a digital certificate and digital rights to that song. That is how NFT works. The main owner is the creator, and he holds the copyright.
There is legal confusion with the smart contracts, which are the backbone of non-fungible tokens.π Let's understand it with an example, so let's say a dispute happened, now the case has gone to the court, or not, and how this will be solved is still a question mark.
A legal dispute can happen due to a copyrighted NFT.π΅ For example, there is copyrighted content, and someone minted that copyrighted content into an NFT, and someone bought it too, then there is a possibility that legal issues will happen.
I am not saying there are only problems with the NFT industry, but these are the concerns that need to be talked about. πTechnology is still evolving, and improvement will happen for sure. This sector is still evolving.
Now, if you wish to buy an NFT, then check carefully that the NFT is coming from trusted sources, and the owner's history is also important.β I strongly suggest avoiding buying NFTs from a new seller. You should know how to research NFT before buying it. π€ Share reblog and comment. Follow me on hive.
π€³All the images are taken from the bluetris.
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The white paper of a dApp usually answers the question on the limits and boundaries an asset holder has as the 'owner'. Some smart contracts do have description/definition of what the participant is purchasing but sometimes it is up in the air.
You brought up some interesting thoughts about what 'owning' an NFT actually means. In some cases it is just for purposes of resale while in others it could be actually using the owned NFT and using it as a personal brand. It'll be interesting to see what happens in the future as this technology progresses and the definition becomes clear.
Thank you for sharing!