James Cirrone

Kellogg’s has filed a dozen trademarks for its various brands, with documents showing that the American cereal giant has plans to create NFTs with its intellectual property.&nbsp;



Twelve Kellogg’s brands each had separate filings sent to the US Patent and Trademark Office (USPTO) dated May 24, 2023. They include:



<ul class="wp-block-list">
<li>Froot Loops</li>



<li>Special K</li>



<li>Kellogg’s</li>



<li>Pop-Tarts</li>



<li>Cheez-It</li>



<li>Rice Krispies</li>



<li>Krave</li>



<li>Eggo</li>



<li>Mini Wheats</li>



<li>Bear Naked</li>



<li>Frosted Flakes</li>



<li>Pringles</li>
</ul>



Each filing has the same parameters for what Kellogg’s plans to do with the trademarks. Under the goods and services section of the filings, Kellogg’s mentions using their food products in “online virtual worlds” and that their various cereals, breakfast bars and snacks will be made into NFTs.&nbsp;



It’s important to note that these trademarks, though filed, do not guarantee that Kellogg’s will ever launch NFT or metaverse-related assets featuring their food products. All it means currently is that Kellogg’s has essentially called dibs, opening up the potential for the company to do whatever it wants with its intellectual property within the Web3 realm going forward.&nbsp;



Blockworks reached out to Kellogg’s for more specifics on possible NFT drops but did not receive an immediate response. 



Other companies have also filed trademark applications claiming that NFTs or the metaverse could be a part of their business going forward.



Mercedes Benz is one, having <a href="https://blockworks.co/news/mercedes-benz-hints-at-metaverse-plans">filed five metaverse and NFT-related trademarks</a> with the USPTO in December 2022. Fidelity is another company that revealed metaverse plans in December last year. The asset manager <a href="https://blockworks.co/news/fidelity-trademarks-hint-at-big-banks-vying-for-metaverse-customers">filed three patent applications</a> for investment services and financial planning across “virtual worlds.”



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Kellogg’s Could Jump Into the Metaverse: 12 Trademark Filings Reveal NFT Interest

Shalini Nagarajan

A US judge ruled in favor of Bored Ape Yacht Club’s creator Yuga Labs in a case involving Ryder Ripps and Jeremy Cahen over their satirical NFT collection.



The court’s summary judgement granted Yuga injunctive relief and monetary damages in a <a href="https://www.courtlistener.com/docket/63458882/225/yuga-labs-inc-v-ripps/" target="_blank" rel="noreferrer noopener">ruling</a> filed April 21.



In May 2022, Ripps and Cahen created the Ryder Ripps Bored Ape Yacht Club collection, a series of NFTs that looked nearly identical to Bored Apes, which Ripps alleged <a href="https://web.archive.org/web/20220630015413/https://gordongoner.com/" target="_blank" rel="noreferrer noopener">perpetuate Nazi symbolism</a>.



Shortly after, in June, Yuga <a href="https://blockworks.co/news/alleging-copyright-infringement-bored-apes-take-satirist-to-court">filed a lawsuit against Ripps</a> and his associate, alleging that they had created and marketed &#8220;copycat NFTs&#8221; that hurt the value of the authentic ones.



Yuga alleged that Ripps promoted and sold the collection “using the very same trademarks” that BAYC’s real creator uses to sell BAYC NFTs. The NFT company said it was a deliberate effort to harm Yuga by making consumers doubt whether the RR/BAYC NFTs were affiliated with the authentic BAYC.&nbsp;



Ripps attempted to block the lawsuit in August, <a href="https://fingfx.thomsonreuters.com/gfx/legaldocs/zdvxozkynpx/IP%20BOREDAPES%20TRADEMARKS%20mtd.pdf" target="_blank" rel="noreferrer noopener">arguing</a> his NFTs were a form of appropriation art that was meant to be “artistic criticism.”&nbsp;



His arguments included claims that Yuga’s BAYC logo was an imitation of a Nazi symbol and that the company’s artwork was “embedded with dog whistles common among neo-Nazis, alt-right groups, and racist bulletins” on websites like 4chan.



Yuga’s co-founder <a href="https://medium.com/@team_69582/a-letter-from-the-founders-678e5a3431e7" target="_blank" rel="noreferrer noopener">responded</a> to Ripps’ allegations, calling him and his associates trolls that spread “ridiculous conspiracy theories.”



In December, <a href="https://blockworks.co/news/yuga-labs-at-center-of-battle-over-the-nature-of-nft-copyright">Ripps and Cahen claimed</a> that NFTs are “unique by design and cannot be copied.”



The US district judge John Walter found that Yuga has established significant brand recognition from using the BAYC marks in commerce, that Ripps infringed on unregistered marks and engaged in cybersquatting. Ripps RR/BAYCS “does not constitute an expressive artistic work protected by the First Amendment,” the judge wrote, and was likely to confuse consumers.&nbsp;



Meanwhile, a motion from Yuga motion regarding statutory damages was denied — though this was more of a technicality, determining that any damages would be decided at trial.



Copyright attorney Jessica Need McDonald concluded on <a href="https://twitter.com/NeerMcD/status/1649593777085112321" target="_blank" rel="noreferrer noopener">Twitter</a> that the case was a “big win” for Yuga.



The outcome is significant as it validates the importance of maintaining the authenticity and value of NFTs in the crypto industry.



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BAYC Creator Yuga Labs Scores Legal Victory in Ryder Ripps Lawsuit

Japanese electronic giant Fujitsu has filed a trademark application for a broad range of financial services — including crypto trading.



A US Patent and Trademark Office <a href="https://tsdr.uspto.gov/documentviewer?caseId=sn97842910&amp;docId=APP20230320124101#docIndex=1&amp;page=1" target="_blank" rel="noreferrer noopener">filing</a> last week showed the tech firm exploring services such as money and crypto exchange, digital asset management, brokerage services for crypto trading, payment transaction processing and securities trading.&nbsp;



The development was first <a href="https://twitter.com/KondoudisLaw/status/1638127134836244482" target="_blank" rel="noreferrer noopener">shared</a> by Mike Kondoudis, a USPTO licensed trademark attorney, on Twitter.



Fujitsu also seems to be interested in real estate, as the same trademark application included services for leasing or renting buildings and the purchase and sale of land.&nbsp;



The firm, which describes itself as the top digital services company in <a href="https://blockworks.co/tag/japan" target="_blank" rel="noreferrer noopener">Japan</a>, was originally established in 1923 as a joint venture to boost the production of equipment like generators and electric motors in Japan.&nbsp;



Fujitsu eventually became a pioneer of Japan’s telecommunications infrastructure, having built the country’s first computer and providing products like servers, PCs, laptops, tablets, storage hardware and air conditioners. It’s now a global brand.



The full extent of Fujitsu’s potential crypto ambitions aren’t known outside of the trademark filing. Blockworks has reached out to learn more. But the firm has dabbled in blockchain before, developing <a href="https://www.fujitsu.com/global/about/resources/news/press-releases/2019/0704-01.html" target="_blank" rel="noreferrer noopener">digital identity technology</a> in 2019 which relies on a distributed ledger to examine legitimacy during online transactions.



Fujitsu is also among other prominent Japanese companies that recently announced their intention to create a <a href="https://blockworks.co/news/japan-metaverse-economic-zone">metaverse project called Ryugukoku</a>. It includes the creation of a Japan Metaverse Economic Zone, which would integrate various metaverse platforms to support interoperability.&nbsp;



The idea is essentially meant to gamify Japan’s business ecosystem, where respective companies will bring in their unique talents to develop features. The concept is the brainchild of Hajime Tabata, a Japanese game director who previously worked for Square Enix.



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Japan’s Fujitsu Files Trademark for Crypto Services

French luxury fashion house Hermès isn’t satisfied by winning its lawsuit against NFT creator Mason Rothschild. It’s now seeking a court order to permanently block Rothschild from selling MetaBirkins NFTs ever again.



If granted, Rothschild would be handed an even more drastic damage than <a href="https://blockworks.co/news/metabirkins-nfts-hermes-rothschild-outcome">the jury’s decision in February</a>, when he was found liable for trademark infringement.&nbsp;



At the time, the nine-person jury awarded Hermès $133,000 in total damages and found that Rothschild’s NFTs aren’t protected speech under the First Amendment.&nbsp;



But it appears that compensation isn’t enough, with Hermès arguing its brand continues to suffer with interference into its own NFT plans.



“The BIRKIN handbag has become one of Hermès’s most iconic products, if not its most iconic product,” the brand’s lawyers said in a recent court <a href="https://storage.courtlistener.com/recap/gov.uscourts.nysd.573363/gov.uscourts.nysd.573363.166.0.pdf">motion</a>.



Hermès argues that Rothschild promoted and sold the NFTs through channels like Instagram and Twitter under the name “METABIRKINS” beginning Nov. 2021 “with the goal to create a digital commodity.” And that he did so without authorization.



The fashion house further alleged that Rothschild duped friends and business associates regarding a potential collaboration with Hermès, claiming that the brand might assist with the NFT project.



His NFTs interfered with Hermès’ own NFT plans, which have been in development stage since Dec. 2019, lawyers said. And despite the verdict in Hermès’ favor, Rothschild continues to promote MetaBirkins NFT sales through social media, enabling him to earn royalties through such sales, they added.



Blockworks reached out to Rothschild for comment.



The same day as the verdict, on Feb. 8, Rothschild <a href="https://twitter.com/MasonRothschild/status/1623367118493257730">tweeted</a> about a “broken justice system.” He also shared his posts on the MetaBirkins Discord server, which he uses to conduct his business, lawyers said, arguing that he continues to dispute against the jury’s decision.



“In addition, Rothschild still promotes the sale of METABIRKINS NFTs on the METABIRKINS website and METABIRKINS Instagram and Twitter accounts,” they said.



Hermès is now calling for a permanent injunction, a move to essentially stop Rothschild from promoting and selling the MetaBirkins NFTs altogether. Money damages are not adequate to compensate Hermès for the irreparable harm it has suffered, they said.



“Rothschild’s past and present conduct demonstrates he is likely to continue infringing Hermès’s trademarks if a permanent injunction is not issued,” they said.



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Hermès Says Trademark Lawsuit Win Over MetaBirkins NFTs Isn’t Enough

Ornella Hernandez

The latest automotive business with moves in the metaverse is German company Mercedes-Benz Group AG.



The company has recently filed for five metaverse and NFT-related trademark applications with the United States Patent and Trademark Office (USPTO).



The five applications for “Mercedes Benz, Mercedes, S-Class, G-Class, and Maybach” establish trademark protection for any future NFT collections, marketplaces for NFTs and virtual vehicle parts as well as to enable cryptocurrency trading.



One trademark filing for the company’s “Maybach” model <a href="https://tmsearch.uspto.gov/bin/showfield?f=toc&amp;state=4810%3A276xi2.1.1&amp;p_search=searchss&amp;p_L=50&amp;BackReference=&amp;p_plural=yes&amp;p_s_PARA1=&amp;p_tagrepl%7E%3A=PARA1%24LD&amp;expr=PARA1+AND+PARA2&amp;p_s_PARA2=mercedes+benz+nft&amp;p_tagrepl%7E%3A=PARA2%24ALL&amp;p_op_ALL=AND&amp;a_default=search&amp;a_search=Submit+Query&amp;a_search=Submit+Query" target="_blank" rel="noreferrer noopener">described</a> plans for “crypto-collectibles” featuring digital or physical animal furs, blankets, carpets, rugs and mats.



Another filing for its “S-Class” model <a href="https://tmsearch.uspto.gov/bin/showfield?f=toc&amp;state=4810%3A276xi2.1.1&amp;p_search=searchss&amp;p_L=50&amp;BackReference=&amp;p_plural=yes&amp;p_s_PARA1=&amp;p_tagrepl%7E%3A=PARA1%24LD&amp;expr=PARA1+AND+PARA2&amp;p_s_PARA2=mercedes+benz+nft&amp;p_tagrepl%7E%3A=PARA2%24ALL&amp;p_op_ALL=AND&amp;a_default=search&amp;a_search=Submit+Query&amp;a_search=Submit+Query" target="_blank" rel="noreferrer noopener">said</a> it may have “audio recordings, video recordings, image files, music, and multimedia files containing artwork, text, audio, images, or video featuring collectible items authenticated by NFTs.”



These NFTs “featuring digital art” or a “representing a collectible item,” according to the applications, are “for use in online virtual worlds” in reference to metaverse platforms.&nbsp;



This isn’t Mercedes’ first foray with blockchain, as it has already <a href="https://group.mercedes-benz.com/innovation/blockchain-2.html" target="_blank" rel="noreferrer noopener">tested</a> out implementing the technology to ensure consistent documentation of contracts along the supply chain.



Earlier this year, Mercedes subsidiary Daimler South East Asia <a href="https://www.benzinga.com/markets/cryptocurrency/22/07/28249232/mercedes-benz-and-polygon-to-develop-a-platform-for-data-exchange" target="_blank" rel="noreferrer noopener">developed</a> a blockchain-based data-sharing platform built on Polygon. The platform allows users to exchange data such as insurance information or clinical trials with other businesses. 



Additionally, the company’s Formula One Racing team Mercedes-AMG Petronas had a partnership with crypto exchange FTX. It suspended the sponsorship and removed the FTX logo from race cars after its <a href="https://blockworks.co/news/5-highlights-ftx-bankruptcy" target="_blank" rel="noreferrer noopener">Chapter 11 bankruptcy filing</a> in November.



Mercedes-AMG Petronas and FTX had also released a line of NFTs collectibles for the Miami Grand Prix, with free-to-claim limited edition ticket stubs for the race on the now-defunct <a href="https://blockworks.co/news/ftx-nftx-are-mia" target="_blank" rel="noreferrer noopener">FTX NFT marketplace</a>.



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Mercedes-Benz Hints at Metaverse, NFT Plans in Trademark Filing

Bessie Liu

<div id="highlights-block_6358312e18d07" class="highlights">
 <ul>
 <li>Recent trademark filings could imply that Western Union wants to launch its own virtual currency exchange and cryptocurrency token</li>
 <li>The financial services company has plans to expand offerings into managing and administering digital assets</li>
 </ul>
 
</div>



Western Union has filed crypto-related trademark applications with the United States Patent and Trademark Office, trademark attorney Mike Kondoudis <a href="https://twitter.com/KondoudisLaw/status/1584882175127613440" target="_blank" rel="noreferrer noopener">said</a>.&nbsp;



The <a href="https://tsdr.uspto.gov/#caseNumber=97641182&amp;caseSearchType=US_APPLICATION&amp;caseType=SERIAL_NO&amp;searchType=statusSearch" target="_blank" rel="noreferrer noopener">applications</a> made by Western Union imply that the company intends to launch its very own virtual currency exchange and cryptocurrency token. The financial services company also has plans to expand into managing and administering digital assets.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="550" data-dnt="true"><a href="https://twitter.com/hashtag/WesternUnion?src=hash&amp;ref_src=twsrc%5Etfw">#WesternUnion</a> has filed 3 trademark applications claiming plans for ▶️ Financial + Banking + Insurance ▶️ Virtual currency exchange + transfer ▶️ Commodity and Crypto trading + brokerage ▶️ Issuing tokens of value …and much more<a href="https://twitter.com/hashtag/Web3?src=hash&amp;ref_src=twsrc%5Etfw">#Web3</a> <a href="https://twitter.com/hashtag/Metaverse?src=hash&amp;ref_src=twsrc%5Etfw">#Metaverse</a> <a href="https://twitter.com/hashtag/Cryptocurrency?src=hash&amp;ref_src=twsrc%5Etfw">#Cryptocurrency</a> <a href="https://twitter.com/hashtag/NFT?src=hash&amp;ref_src=twsrc%5Etfw">#NFT</a> <a href="https://twitter.com/hashtag/DeFi?src=hash&amp;ref_src=twsrc%5Etfw">#DeFi</a> <a href="https://t.co/YvKysvj3mq">pic.twitter.com/YvKysvj3mq</a>&mdash; Mike Kondoudis (@KondoudisLaw) <a href="https://twitter.com/KondoudisLaw/status/1584882175127613440?ref_src=twsrc%5Etfw">October 25, 2022</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Until now, Western Union has been relatively cautious about entering blockchain technology.&nbsp;



In December 2018, former Western Union Global Money Transfer President Odilon Almeida <a href="https://www.westernunion.com/blog/en/blockchain/" target="_blank" rel="noreferrer noopener">said</a> adding cryptocurrencies as a customer option would be a big reach, as digital assets had not yet mastered governance, compliance and volatility and received global acceptance.



Added Almeida: “Cryptocurrency might become one more option for a way for assets to be exchanged between people and countries. If that happens, we would be ready to launch.”



It seems that now, four years later, the growing adoption of blockchain technology — alongside the increased competition in the international money transfer space — has finally pushed the financial services giant to tap crypto markets.&nbsp;



Earlier this year, centralized crypto exchange Coinbase had <a href="https://cms.blockworks.co/coinbase-launches-crypto-remittance-pilot-for-mexico/" target="_blank" rel="noreferrer noopener">begun trialing</a> a remittance program for recipients in Mexico, challenging the market dominated by Western Union.&nbsp;



Coinbase claimed its services were <a href="https://cms.blockworks.co/coinbase-launches-crypto-remittance-pilot-for-mexico/" target="_blank" rel="noreferrer noopener">significantly</a> cheaper than traditional cross-border payments and was looking to expand its services globally to the world’s 1.7 billion underbanked.



Even so, Western Union remains one of the <a href="https://www.globenewswire.com/en/news-release/2022/05/09/2438800/0/en/39-8-Billion-Global-Digital-Remittance-Market-Size-Share-Forecast-by-2028-Market-is-Fueled-by-Rising-Banking-Financial-Services-and-Insurance-Globally-Historic-Data-Industry-Emergi.html" target="_blank" rel="noreferrer noopener">biggest players </a>in the global remittance industry, and Almeida has held onto the belief that “[Western Union is] better positioned to benefit from the crypto-currency movement in the long-term than any start-up.”



“Western Union is already better equipped to solve for such variables because it already moves money across 130 currencies and devotes substantial resources to all of those three challenges,” he said.



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Western Union Trademark Filings Signal Crypto, Web3 Exploration

<div id="highlights-block_630f30b53f339" class="highlights">
 <ul>
 <li>The World Intellectual Property Organization said the disputed name is simply an abbreviation of the crypto firm’s service</li>
 <li>Still, privacy-focused crypto startup DKYC is now rebranding its website to “ShadowFi” </li>
 </ul>
 
</div>



Crypto startup Don’t Know Your Customer has managed to avoid a cybersquatting complaint put forth by accounting giant Deloitte over its domain name.



Deloitte offers a service for Know-Your-Customer operations called <a href="https://www2.deloitte.com/lu/en/pages/financial-advisory/solutions/deloitte-kyc.html" target="_blank" rel="noreferrer noopener">DKYC</a>, which involves due diligence via document collection. 



But the mega-firm took issue with web design firm Penultimate Media Systems registering a version of that name as <a href="https://dontkyc.com/" target="_blank" rel="noreferrer noopener">dontkyc.com</a> for its crypto client — a startup offering prepaid cards pitched as a way to spend certain Binance Chain tokens in the real-world without having to disclose personal information.



A recent <a href="https://www.wipo.int/amc/en/domains/decisions/pdf/2022/d2022-1775.pdf" target="_blank" rel="noreferrer noopener">decision</a> by the World Intellectual Property Organization, shared by <a href="https://domainnamewire.com/2022/08/30/crypto-company-defeats-deloitte-in-cybersquatting-dispute/" target="_blank" rel="noreferrer noopener">Domain Name Wire</a>, showed Deloitte failed to establish that the disputed name was used by the crypto firm illicitly, highlighting that the domain name is not dkyc.com, but dontkyc.com.



The issue for Deloitte was that the domain name is “highly similar” to its trademark and that the crypto firm offered financial services under its identical “DKYC” sign, according to the document. It also noted the crypto firm does not identify as an active company or provide a valid postal address on its website.



Deloitte argued that the crypto startup had made multiple references with fraudulent intentions to “DKYC,” but not using “dontkyc” — which is reflected in the disputed domain name.&nbsp;



The domain owner was accommodating in turn, saying it’s ready to modify branding and change references to “DKYC” if that would help the case. It claimed to have searched the US Patent and Trademark Office for the disputed domain name prior to registration with no results. It later learned DKYC was registered in other territories.



The <a href="https://dontkyc.com/" target="_blank" rel="noreferrer noopener">website</a>, as of Wednesday, showed DKYC is rebranding to “ShadowFi.&#8221; The startup describes itself as a small community-based non-profit token operating on the Binance Smart Chain, promising an absence of KYC measures in order to ensure privacy. “Our vendor doesn’t know who we are, and we don’t know who you are. No ID required. Ever,” states its website.



WIPO’s sole panelist Adam Taylor said Deloitte still has the option to take the crypto firm to court for infringement of intellectual property rights, if it believes there is sufficient ground to do so.



Representatives for Deloitte, DKYC and Penultimate Media didn’t return Blockworks’ request for comment by press time.



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Crypto Startup Clashes With Deloitte Over Domain — And Wins

Jack Kubinec

David Canellis

<div id="highlights-block_62d1b9e0ae9b0" class="highlights">
 <ul>
 <li>The removal included non-trademarked domains flagged by the RIAA</li>
 <li>OpenSea continues to err on the side of caution following intellectual property claims</li>
 </ul>
 
</div>



The same week OpenSea <a href="https://cms.blockworks.co/opensea-lays-off-20-of-staff/" target="_blank" rel="noreferrer noopener">laid off 20% of its workforce</a>, the top NFT marketplace removed several music-themed Ethereum Name Service (ENS) domain auctions after receiving a cease and desist letter from the Recording Industry Association of America (RIAA).



The letter argued that a number of OpenSea-hosted ENS auctions were in violation of US trademark law, although not all of the domain names contain trademarked material.&nbsp;



OpenSea complied with the letter, continuing the centralized NFT (non-fungible token) exchange’s precedent of honoring copyright complaints.



ENS domains serve as unique website addresses, ending in “.eth.” Similar to how the internet’s Domain Name Service replaces IP addresses with strings of characters, ENS domains can be used to access websites hosted on decentralized storage solution IPFS.&nbsp;



They can also substitute complicated Ethereum blockchain addresses, allowing users to receive cryptocurrency via their domains. Registrations for ENS domains can be <a href="https://docs.ens.domains/dapp-developer-guide/ens-as-nft" target="_blank" rel="noreferrer noopener">transferred</a> by NFTs, which denote ownership and enable trading on marketplaces such as OpenSea.&nbsp;



In the RIAA’s letter, <a href="https://torrentfreak.com/images/opensea-takedown.txt" target="_blank" rel="noreferrer noopener">posted online by TorrentFreak</a>, the trade association provides a list of .eth domains it believes violate the 1999 <a href="https://www.govinfo.gov/content/pkg/CRPT-106srpt140/html/CRPT-106srpt140.htm" target="_blank" rel="noreferrer noopener">Anti Cyber-Squatting Consumer Protection Act</a>. The law prevents the creation of web domains containing trademarks with “bad-faith intent to profit.”



ENS domains have been popular of late, with 000.eth <a href="https://twitter.com/Blockworks_/status/1544323581026439178" target="_blank" rel="noreferrer noopener">selling for $328,000 last week</a>.



The RIAA flagged “universalmusic.eth” and “atlanticrecords.eth” as breaking the law alongside dozens more. Both ENS domains are owned by the same <a href="https://etherscan.io/tokenholdings?a=0xd67d9e817aa9a1e4d00568e9445a9e6d0dd18c8b" target="_blank" rel="noreferrer noopener">address</a>, which paid $5 for each domain in 2020. They’ve also acquired a swath of domains tied to popular brands including Columbia Records, Sony Entertainment, Subpop and Capitol Records, among others.



The trade group also objected to domains titled for individual music industry executives like mitchglazier.eth and robstringer.eth, CEOs of the RIAA and Sony Music, respectively. Both domains are owned by the same blockchain <a href="https://etherscan.io/tokenholdings?a=0xa59fe57ddcb393dd3dcaa2ba2766e10d4f38e339" target="_blank" rel="noreferrer noopener">address</a>, which paid $5 and $15, respectively.



Neither name appears in the US Patent and Trademark Office <a href="https://tmsearch.uspto.gov/bin/gate.exe?f=login&amp;p_lang=english&amp;p_d=trmk" target="_blank" rel="noreferrer noopener">database</a>, although the owner has also registered named ENS domains for celebrity figures such as WWE billionaire Vince McMahon, Pink Floyd superstar Syd Barrett and Columbia Records CEO Ron Perry.



Jeffrey Blockinger, general counsel at Web3 startup Quadrata, told Blockworks in an email that OpenSea’s initial reaction to the RIAA letter indicates Web3 companies are “becoming aware of traditional property rights and the value their protection can add to the development of NFTs as an asset class.”



“It is encouraging to see a company in an emerging industry implement takedown procedures that appear designed to protect [intellectual property] rights in a way that reflects responsible behaviors in more traditional asset classes,” Blockinger said.



OpenSea regularly errs on the side of caution with intellectual property complaints. The NFT marketplace <a href="https://snobette.com/2021/12/metabirkins-nft-removed-opensea-following-hermes-cease-and-desist/" target="_blank" rel="noreferrer noopener">removed</a> a collection of Hermes handbag digital collectibles in December following opposition from the upscale fashion company.&nbsp;



Earlier this year, free expression activist Jillian York <a href="https://therecord.media/jillian-york-nft-stole-my-face/" target="_blank" rel="noreferrer noopener">asked</a> OpenSea to remove an NFT of her face posted without her consent, and OpenSea complied.



NFTs are popular in the music industry, as <a href="https://cms.blockworks.co/heres-how-nfts-could-disrupt-a-heavily-centralized-music-industry/" target="_blank" rel="noreferrer noopener">streaming has made it difficult for artists to monetize their music</a>. Snoop Dogg, BTS and Steve Aoki each released NFT collections for fans this year.&nbsp;



Institutional players seem to be moving toward Web3, too. Yesterday, a Universal Music Group affiliate partnered with Moonpay to allow the Bored Ape collectors band KINGSHIP fans to mint NFTs.



OpenSea and the RIAA did not immediately respond to requests for comment.



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