Chinese prosecutors to crack down on 'pseudo-innovation' in NFT market
According to public prosecutor, marketing models such as rewards and dynamic rights and interests can easily evolve into illegal pyramid schemes. On May 15, the Supreme People’s Procuratorate of the People’s Republic of China, the national agency responsible for legal prosecution, shared its thoughts on the non-fungible token (NFT) market . In an article published, three authors laid out the prosecutor s’ vision of the market risks and the following reasons to enforce it more actively. The article pays attention to the tendency of “securitization” of NFTs, i.e. the shared ownership of one copy by multiple users, which, in the authors’ opinion, no longer corresponds to criteria of non-reproducibility, indivisibility and uniqueness. Among other threats, the prosecutors see the “inflation of prices” on NFTs, triggered by marketing methods such as airdrops, blind boxes and limited sales. Taking the ambitious breed of esthetic and economic analysis, the authors mention a lack of “artistic...