Web 1.0: Ownership is a legal contract; Usage rights are non and unauthorised; Enforcement is by lawyers.
Web 2.0: Ownership is a legal contract; Usage rights is is based on the platform; Enforcement is by the platform and lawyers.
While Web 3.0 is a combination. Ownership is NFT; Usage rights are creator-driven and platform to facilitate; Enforcement is by lawyers, smart contract. platform and community.
In this structure, the creator will be able to gain their IP rights in a global manner, compensated accordingly when they authorised usage and all these are trackable, administrated by the smart contract and platform.
With all these in mind, I believe NFTs need a global standard and enforceable contracts and licenses agreement to protect all parties.
– Anndy Lian
‘All eyes are on it:’ CryptoPunks at center of copyright legal dispute
The biggest-selling NFT collection of all time has two competing versions, threatening to undermine the value of the tokens and faith in the industry itself.
Larva Labs issued the DMCA notice — a takedown notice by copyright holders — earlier in the month, arguing it maintains the license for the V1 tokens and no longer wants them to be traded, as they undermine the value of the current V2 series. The V1 community is arguing that as close to US$50 million has been spent on the V1s, the community holds at least some ownership over the assets.
As the legal proceedings continue, the case will be closely watched for what it may reveal about the future of copyright laws and the potential need for oversight within the industry.
“I’m really excited to see how it does play out,” said Yehuda Petscher, strategist at NFT data aggregator CryptoSlam, telling Forkast it’s one of the more significant stories we’ve seen on the NFT scene to date. “All eyes are on it: we’re talking about the biggest brand in NFTs with Larva Labs and CryptoPunks, so it’s going to be a wild one.”
Petscher himself is a V1 holder, which he bought as he recognized the historic significance of the initially discarded collection.
CryptoPunks are the most traded NFT collection in the world, with over US$2 billion in sales volume across their 10,000 units. If the V1s are considered legitimate, that would double the supply of CryptoPunks and potentially deflate their unit price.
Larva Labs had actually sold 210 ETH or over US$600,000 worth of CryptoPunks V1 prior to issuing the takedown order, as the company thought selling the tokens would give the impression they were not of any value — a fact the firm now recognizes was a poor decision.
But the impacts of the case go beyond simply the price, as some have suggested it could see an NFT standard introduced in the industry in order to protect copyright — and investors.
“Until there is the NFT standard, it is very tough to police each and every single transaction and collection in the market,” Anndy Lian, founding member of NFT creative studio Influxo, told Forkast, explaining that blockchain is useful for determining ownership but does not guarantee copyright. “The industry is still very much driven by speculation and price and if this continues you will see a lot more of these cowboys running around in the crypto market and in the NFT space,” he added.
CryptoSlam’s Petscher disagrees, saying all the information required to verify an asset is already stored on the blockchain along with the token itself, it’s just a matter of educating people to read and interpret the data that is stored there.
The V1 CryptoPunks are still available through LooksRare, the upstart marketplace that has transacted greater sales volumes than OpenSea since launching in early January, though they have a significantly lower floor price of 9.3 ETH (US$26,500) compared to 72.69 ETH for the V2s.
Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.
Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.
An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.