Home » Why a group of NFT investors is suing Sotheby’s (and Madonna, Justin Bieber and other VIPs)

Why a group of NFT investors is suing Sotheby’s (and Madonna, Justin Bieber and other VIPs)

by admin
Why a group of NFT investors is suing Sotheby’s (and Madonna, Justin Bieber and other VIPs)

The NFT madness passed as quickly as it began. And with the collapse of valuations, now lawsuits are also arriving: such as the one brought by some investors against Sotheby’s for an auction of NFT Bored Ape Yacht Club. According to the plaintiffs, the auction house allegedly “misleadingly advertised” the works of digital art and, in agreement with Yuga Labs, who created them, would have artificially inflated their prices. In addition to Sotheby’s, VIPs such as Justin Bieber and Serena Williams are involved in the lawsuit, accused of promoting the NFT collection without revealing any financial interests. The plaintiffs are seeking at least $5 million in damages.

Art and collecting in the blockchain era March 11, 2021

In September 2021, Sotheby’s sold over 100 NFTs to a single buyer in an online auction for over $24 million. “Sotheby’s claims that the undisclosed purchaser was a ‘traditional’ collector had misleadingly created the impression that the Bored Ape Yacht Club (NFT) market was ripe for a mainstream audience,” the filed complaint reads. in federal court in California earlier this month. The lawsuit was filed last December, but Sotheby’s was not explicitly mentioned.

In the documents filed in court a few days ago, however, the most famous auction house in the world is explicitly mentioned, along with several other companies, such as the sportswear giant Adidas, all part of a “vast scheme” to artificially inflate prices.

Tutorial How to create an Nft and how to sell it online by Emanuele Capone 03 June 2021

NFTs exploded in 2021: Twitter founder Jack Dorsey’s first tweet sold for $2.9 million within weeks, a video of LeBron James dunking fetches over 200,000, the GIF Of Nyan Cat for 600,000. All digital objects, therefore by definition replicable, which have found their uniqueness thanks precisely to a Non Fungible Token, becoming art objects to be collected, but also an opportunity for investments and speculation. Everydays: The First 5000 Days by Beeple, i.e. Mike Winkelmann, reached a record that has never been repeated: it was sold for 69 million dollars, but by another auction house: Christie’s, historical rival of Sotheby’s. Bored Ape Yacht Club’s digital monkeys, which until May 2022 sold for over $400,000, can now be purchased for just over $50,000. But nobody buys them anymore, so the real value is even lower.

See also  Prime Video, Amazon thinks of a subscription with advertising

Among the many VIPs who appear in the lawsuit brought against Sotheby’s also The Weeknd, Snoop Dogg, Kevin Hart, DJ Khaled. And Guy Oseary, whose venture capital firm has invested in cryptocurrency payment platform Moonpay. According to the indictment, Oseary collaborated with Yuga Labs to promote NFTs, creating interest in potential customers and pushing payments to Moonpay. For example, on the November 11, 2022 episode of The Tonight Show, host Jimmy Fallon announced that he had purchased his NFT of Bored Ape Yacht Club through Oseary’s investment platform. Fallon called MoonPay “the PayPal of cryptocurrencies” on an episode of his talk show, and spoke again about Bored Ape’s NFTs on another episode of his show with host Paris Hilton. Other VIPs involved, such as Gwyneth Paltrow, have not revealed that they have a stake in Moonpay, despite promoting the company.

Oseary has been Madonna’s manager for years, so it’s no surprise that Louise Veronica Ciccone appears on the list of celebs implicated. The American singer actually spoke out in favor of NFTs, thanking on Twitter Moonpay for giving her a digital monkey. But then she decided to go it alone, creating three NFT video clips with Beeple to sell at auction. But for a good cause: the proceeds went to as many non-profit organizations that support women and children.

Brian Eno: “With NFTs, even artists can become little capitalist assholes” by Bruno Ruffilli December 21, 2021

You may also like

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Privacy & Cookies Policy