Non-Fungible Thursdays: What Happened in NFTs This Week? [May 26, 2022]

In a rather interesting case involving NFT collateral, a Singaporean court has stopped the sale of a highly-priced Bored Ape following a disagreement between the lender and borrower. And while eBay has launched its first official NFT collection, another entrepreneur is hoping to raise $13M for charitable causes via the issuance of digital collectibles.

OpenSea Unveils New NFT Marketplace ‘Seaport’

Leading NFT marketplace OpenSea has continued to roll out new products in a bid to retain its dominance as the largest platform for digital collectibles in the world. The latest in its arsenal is a new NFT marketplace that will offer innovative ways for users to buy and sell digital collectibles, including the option to pay for items with different assets, rather than just crypto.

Traders will be allowed to specify the criteria they want when selling or buying an NFT. Furthermore, tipping will also be possible, as long as it does not exceed the original NFT offer.

“As adoption grows and developers create new evolving use-cases, we are all responsible for keeping each other safe,” OpenSea said, clarifying that the core smart contract of the platform is open-source and decentralized “with no contract owner, upgradeability, or other special privileges.”

Speaking of open-source, a security audit was conducted by OpenZeppelin during the early stages of the development of Seaport. Trail of Bits conducted another audit near the completion of the current deployment. As per the announcement, both companies claimed there were no major vulnerabilities at the time. Meanwhile, OpenSea has kicked off a two-week audit contest with code4rena with a $1 Million prize pool.

“I’m [not gonna lie]... I couldn't even understand what this does. Is it basically just an opensource marketplace that kind of enables bartering and/or more customization through community development?”

Manchester City Taps on NFTs To Celebrate the Club’s Iconic Moments

Manchester City has teamed up with Animoca Brands’ Quidd marketplaces for an NFT collection.

“The caliber and history of the club drove the desire to create something fans and collectors have never seen before, something that was just as interactive as what it means to be a City fan,” said Sam Barberie, VP of Content at Quidd.

Quidd has grown to become a leading NFT marketplace on the Wax Blockchain, having already worked with household names like Disney and HBO. The platform is home to collectibles from over 325 brands and boasts eight million collectors worldwide.

The Manchester City collection, which went live on May 20, features a limited set of Signature cards and the first-ever series of fully interactive sports cards with the club. According to the Quidd marketplace:

“The collaboration features four drops starting on May 20th and extending through the end of the season. Fans will discover not only the 3D player cards – a first in sports collecting – but also sets that highlight major moments in the club’s recent history, with archival details found when spinning the card around to its back.”

Singapore High Court Block Sale of Bored Ape Yacht Club #2162

Cryptocurrencies and digital collectibles may not particularly be legal in many countries. However, we are beginning to see an interplay between the sector and many traditional institutions. Interestingly, a case involving an NFT loan has landed in a Singaporean court.

The NFT is question is BAYC #2162. The said piece stands out from others in the 10,000 units collection as the “only one wearing a beanie and has a jovial expression.” It is also one of the original apes since it was yet to be infused with mutant serum.

In mid-April, the Singaporean man used BAYC #2162 to collect a loan from an anonymous lender known as “chefpierre.eth.” According to the filing, the borrower obtained the loan, which included a short repayment period. And after the claimant failed to repay the loan on the maturity date, the lender took ownership of the NFT.

Now, the borrower is claiming “unjust enrichment” on the part of the lender, noting that the BAYC NFT is “one of the claimant’s most treasured possessions, and is irreplaceable to him.”

Following his argument, the Singaporean court has stopped the sale of the NFT until the squabble surrounding its ownership is resolved.

“It is the first decision in a commercial dispute where NFTs are recognized as valuable property worth protecting,” said Shaun Leong, lead counsel for the case and equity partner of Withersworldwide. “So more than merely strings of numbers and codes imprinted on a blockchain, the implication is that NFT is a digital asset and people who invest in it have rights that can be protected.”

The case could set a legal precedent in the NFT space since it is the first case involving a dispute in NFT ownership. For once, the proceedings show that the law recognizes NFTs as a form of property. Chris Holland, a partner at Singapore advisory firm Holland & Marie, explained:

“Having courts acknowledge a person’s potential ownership rights in an NFT is a positive for the industry […] It’s also a reminder to NFT buyers to be vigilant about the rights and control they give to third parties over an NFT. For example, it appears that the borrower does not know the ‘in real life’ identity of the lender. That creates a significant complexity for the borrower’s legal proceedings.”

Hackers Hijack Beeple’s Twitter Account in NFT Phishing Scam

Over the weekend, the Twitter account of Beeple was temporarily compromised leading to the loss of more than $70,000 in crypto.

Beeple later regained control of his account, admonishing people to “stay safe out there, anything too good to be true IS A FUCKING SCAM.”

E-commerce Site EBay Launches First NFT collection

Titled “Genesis,” the NFT collection showcases animated 3D renditions of iconic athletes featured in Sports Illustrated over the years. The first drop from the collection is already live and features hockey legend, Wayne Gretzky.

61-year-old Gretzky played 20 seasons in the NHL for about three decades, winning four Stanley Cups, and is considered one of the greatest players of all time.

There are 13 different types of collectibles of varying tiers in the Gretzky drop, ranging from $10 to $1,500. Some of the pieces also contain the athlete’s digitized autograph.

“Forty years ago, I was grateful to be on the cover of Sports Illustrated, it was a monumental moment in my life,” Gretzky said in a statement. “I'm honored to bring this collectible experience to my hockey fans who have followed my career for decades.”

Commenting on the $10 price tag, eBay said that each piece is “priced for the everyday fan.” It added:

“Through our partnership with OneOf, eBay is now making coveted NFTs more accessible to a new generation of collectors everywhere. This builds upon our commitment to deliver high passion, high-value items to the eBay community of buyers and sellers.”

Devon Henry Launches NFT Collection To Raise $13M for Social Causes

Henry hopes to raise $1 million for 13 different charitable causes through the sales of the 13 inaugural digital collectibles. Each piece represents a digital moment in history that commemorates the dismantling of the monuments. Further down the road, there are plans to release a 10,000-piece CrazyStats NFT collection as the project grows.

Meanwhile, Henry and the CryptoFederacy team are putting finishing touches to partnerships with several established nonprofits and planning launch events in New York. Attendees will be able to interact with the team, meet the artist behind the work, explore physical pieces of the dismantled confederate statues, and view framed photographs of behind-the-scenes moments from the statue removal process.

NFT-500 Index Trading Sideways the Past Week