Court documents suggest that StockX has sold more than 500 Nike-branded NFTs without permission so far — affecting the company's reputation in the process.
Nike is suing an online retailer that has been selling unauthorized images of its shoes as NFTs.
StockX is accused of infringing on the sportswear giant's trademarks — and offering products that could confuse shoppers.
Nike has become one of the first companies to embrace the metaverse, and is planning to launch its own range of virtual products later this month.
It recently snapped up RTFKT, a company that specializes in making virtual sneakers — and sales of one collaboration with an 18-year-old artist hit $3 million in under seven minutes.
The lawsuit was filed in federal court in New York, and Nike is pushing for an order that will stop StockX from selling NFTs altogether. It's also demanding monetary damages.
Court documents suggest that StockX has sold more than 500 Nike-branded NFTs without permission so far — affecting the company's reputation in the process.
NFTs: The Murky World of Theft
The unregulated, decentralized nature of non-fungible tokens has created a series of headaches when it comes to copyright infringement.
Quentin Tarantino and Miramax ended up embroiled in a legal spat after the famed director unveiled plans to release NFTs based on his hit 1994 film Pulp Fiction.
Meanwhile, Hermes has taken action against an artist who has launched an NFT collection inspired by the luxury designer's famous Birkin bags.
Earlier this week, an NFT platform was also accused of listing artists' music without consent — along with works that infringed in the copyright of Disney and Nintendo.
