Can Trademarks Help Protect NFTs?
In the past few years, non-fungible tokens (NFTs) have become a popular investment product. NFTs are cryptographic assets found in blockchains. Many people have purchased NFTs in the hopes that their value will increase or remain high. But, for something like an NFT to be valuable, it must be protected from unauthorized reproduction. Trademarks are a valuable strategy for protecting brand names, slogans, and logos. Trademarks are also used in the same way to protect NFTs from unauthorized use of reproduction.
Trademarks are names, phrases, words, designs, or other defined items that establish the identity for a company in a customer’s view. By registering your trademark, you are protected from other infringing your property. Registration creates a legally documented ownership of your trademark as part of the business you are running, which oftentimes is a very valuable asset. Furthermore, trademark registration can provide legal resolution for preventing others from damaging the honor of your business.
NFTs can include things such as digital artwork, fashion and accessories, avatars, music, sports highlights or memorabilia, memes, social media. They serve as valuable assets to businesses. One example is by generating sales and increasing your customers. Business owners can also make money with NFTs using smart contracts, that are immediately executed when the customer sends payment or completes some other condition. Additionally, your business could benefit from earning royalties on secondary sales of NFTs. It is important to trademark your NFT, to protect it from infringement and increase its value. In addition to obtaining protection from infringement, a federally registered NFT trademark enables you and your business to increase your brand identity and gain more recognition in the virtual world.
NFT trademark applications have increased tremendously from every sector. Some of these include finance and banking, food and beverage, restaurants, art, music, entertainment, clothing, and retail. The power of trademarking NFTs comes from preventing the damage of integrity of your NFT. This comes in the form or infringement protection, stopping counterfeit NFTs, as well as future types of infringement that may be unpredictable. One example involves the popular French designer/retailer, Hermès. The company sued a digital artist selling “Metabirkins”, claiming that their trademark protection of the real-world Birkin extends to the virtual world as well. This is a great example that highlights the importance of hiring an experienced trademark attorney which is imperative to protecting your assets, both virtual and in the real world.
Have Questions about the Patent or Trademark Application Process? Contact the Highly Reputable Omni Legal Group Today
The process of gaining an NFT trademark is the same as in the real-world marketplace, which begins with filing a trademark application to the United States Patent and Trademark Office. Ensuring a complete and valid application is imperative to protecting your trademark now and in the future.
The lawyers at Omni Legal Group have years of experience filing all types of trademarks and can handle your application for you. We are a premier Patent, Trademark, and Copyright law firm located in Los Angeles. For further information or to schedule a consultation please contact Omni Legal