Wednesday, December 8

NFTs and Intellectual Property: What Should Creators Know About Coinage?

During the NFT.NYC 2021 event celebrated in New York City there was a debate about NFTs and intellectual property. And, what should the creators consider or take into account from a legal perspective about the minting.

For Dave Rodman, Founder and Managing Partner of The Rodman Law Group, the most important thing to consider when coining NFT is copyright. That are linked to the intellectual property law. He explained that a person can only make a minting when he owns all the copyright of a certain work. That is, it must be the author or collaborator of a certain art. If you skip any of these considerations, you warned that you would already be committing a crime.

But … What about copyright?

Copyright is a set of rights granted to the author who has created an original work. These rights protect the personal interests of the authors and give them the opportunity to obtain an economic benefit from the exploitation of the work.

Copyright is born with the creation of an original work, without the need to register it. But it is highly recommended to voluntarily register these works in the General Registry of Intellectual Property to facilitate the defense of these rights before a judicial procedure. With the registration a reliable date of authorship and ownership is generated.

And it is that, more and more with the use of the Internet, the selection and downloading of works by other artists and using them for all kinds of purposes has become normalized. We must bear in mind that, although most of the time these infringements are not prosecuted (due to their difficult monitoring) we are surely infringing the copyright of a person. That is, from its creator.

Buyer and creator should consider intellectual property rights

For his part, Stuart D. Levi, co-director of Skadden’s Intellectual Property and Technology Group, commented that the buyer of the work is also obliged to consider intellectual property rights.

They also highlighted that despite the fact that this NFT boom is in an early stage, the intellectual property law works and is applied in most cases. This section of the law has “adapted quite well to technology compared to other areas.”

Levi expressed:

Think of it this way: When you buy a physical painting, you buy the work itself, but not the intellectual property. That stays with the artist. It’s the same scenario with most NFTs. ‘

Verify platforms before creating NFTs

So they finally recommended that you consult the user agreement of the platform you are using emphasizing that all communication is important. Both for those who buy and for those who create, so it is very important to do the corresponding research before buying a digital art or even uploading it to a platform.

They also highlighted their conviction that NFTs are a good alternative to fight against copyright infringement. And, that we had the slightest doubt that the platforms that bet on it will have all the advantage.