NFTs And Intellectual Property

Learn How To Protect Your Business In The NFT And Metaverse Sector!

For NFT Creators, Investors, And Brands

NFT Intellectual Property

NFTs contain intellectual property rights such as digital artwork, branding, logo rights, copyrights, and more.

What Is Intellectual Property (IP) Rights?

Simplified, IP relates to intellectual property that gives the owner exclusive rights and ownership over the things they create. This may include – a poem, movie, song, novel, photograph, or painting. These are your rights only and unless you agree, no one else may use your work.

What Is an NFT Copyright?

A copyright is a collection of rights.

Rights include the right to distribute copies, perform and display the work in public, and reproduce the work.

The owner can license, transfer and assign these rights to others. This is where NFT ownership rights come into play. The creator sets the rules. These rules can also be amended and updated.

What Is An NFT trademark?

A trademark can be a word, design, symbol, slogan, brand name, phrase, logo, or a combination of these.

Trademarks identify the services, identity, or products of a specific business.

A trademark helps to prevent other companies from trying to imitate your business to sell their goods and services.

Sometimes, a trademark may simply be the name of a company or product.

In the NFT world, it will become incredibly important for established bluechips to protect their brand, especially from derivative impersonation collections.

Releasing NFTs can present IP issues for creators such as:

  • Does the NFT infringe on third party rights?
  • Who has the right to create and release an NFT?
  • How rights are transferred
  • What rights are transferred when an NFT is sold?
  • Will your NFT create confusion in the eyes of the consumers?
  • Jurisdiction and regulatory issues.

When creating and releasing an NFT collection, it’s important that you know potential IP pitfalls and seeks expert legal advice in this specialty field. The money spent in the planning stage will help you avoid costly lawsuits and loss of reputation.

Intellectual Property For Businesses

Businesses and brands, even if they do not wish to release an NFT collection, must also look to protect their brand, logo, and reputation from being infringed upon.

Businesses that release NFTs into the metaverse for example, must look at how their intellectual property is protected on decentralized platforms.

One such example was the famous Hermes bags business which had to defend its brand from being copied and used as a digital asset.

How Businesses And Creators Can Protect Their IP

  1. Businesses should look to monitor NFT and metaverse marketplaces/platforms.
  2. It would be wise to play defence and register domain names in web3 such as .ETH and .SOL.
  3. Trademark products and services in this new digital space. Including famous artwork.
  4. Front run potential IP infringements by developing policies now.

Examples of NFT IP For Businesses And Creators

Music, film, fashion, artwork, and entertainment rights are being explored with NFTs.

Record labels and music studios can create a song and then wrap the royalty rights inside an NFT. Anyone that owns one of these NFTs will receive a share of the royalties. It is a fantastic method for artists to raise money by selling NFTs to help fund the expense of creating a music video or song.

Polkacity is a metaverse who are creating NFTs to sell to investors that have real-world applications. Owners of their bitcoin city NFTs will have the rights and deeds to actual land plots in El Salvador.

Polkacity is also looking to build a worldwide ice cream brand with outlets, and NFT holders will share in the profits from this business.

Artists are selling 1/1 art pieces or even fractional ownership of expensive NFTs or real-life artwork.

Smart Contracts Used For IP Agreements

Yes. Smart contracts can be used to protect both the creator and the buyer. We shall see more of this, especially as NFTs come to represent real-life assets such as real-estate, royalties, deeds to assets, and more.

NFT Intellectual Property Rights For Investors

NFT intellectual property rights are being transferred to their holders. This trend is set to increase over time.

Here are two examples of NFT Investors Rights

BAYC – Bored Ape Yacht Club Owners Rights

Owners of BAYC NFTs have received intellectual property rights. This means that if you own one, you can potentially profit from it.

BAYC holders can lend out their NFT to brands who wish to use them.

Snoop Dogg and Emimen both own a BAYC NFT and used them in a music video where they transformed into their respective NFT pictures.

Seth Green, the actor, is creating a TV show based around his bored ape, which he has named Fred.

y00ts – A DeGod Solana-based NFT collection

y00t holders can create unique artistic traits and merchandise from their y00t NFT. These NFTs can be monetised.


The evolution of NFTs may present more complex IP issues for creators and owners of certain NFTs in the future. There may also be legal issues with branding and identity theft.

What do you do if someone copies your 1/1 NFT avatar in the metaverse and impersonates you?

Businesses need to understand how to protect their brand and NFT creations, not only in their Country but also worldwide.

We suggest hiring an experienced legal team to help you create an NFT collection and also protect your business in web3.

You can read more articles about NFTs and crypto in the blog section of our website.

We have create a list of worldwide NFT legal experts to contact. Alternatively, we are available to help businesses and creators with this process.

Contact us at or

Jonathan Titley


(NFT industry magazine and project reviews)


All information in this article is for educational purposes only.

Jonathan Titley
Author: Jonathan Titley