January of this year, actress Mila Kunis had a video conference with Mark Zuckerberg’s sister, Randi Zuckerberg, to discuss her NFT project, Stonercats, which thousands of viewers are watching from home. The conversation was part of an online event organized by the new women’s crypto group MyBFF. All night before men robbed all their wealth, speakers emphasized how knowledgeable women could quickly dive into the world of Web3. But Kunis took the beat to throw her warning. “I never want people to enter the NFT thinking it’s an investment,” she said. “Because you love it, you think it’s beautiful, so it brings you joy, so go into it.” Then she, if they’re presenting NFTs like an investment, He also said the Securities and Exchange Commission would “chase” them out of control. That was amazing. In a world where celebrity NFT shillings are booming, there seems to be little regulation.
Celebrities love NFTs.Some famous types have launched their own projects, like Quentin Tarantino, who sells NFTs based on his original. pulp Fiction Screenplay. Some people, like the Bored Ape Yacht Club, like to focus on the projects they support. Gwines Paltrow, Eminem, Steve Aoki, Jimmy Fallon, Paris Hilton, Shaquille O’Neal, Post Malone, The Chainsmokers, DJ Khaled, Future, Snoop Dogg, Lil Baby, Mark Cuban, Steph Posted by Curry, Serena Williams Apes; Timberland owns BAYCNFT and has launched a production company for BAYC owners.
Justin Bieber, meanwhile, posted an image of a boring monkey on Instagram in January, and now has two in his digital wallet, but it’s unclear if he actually paid or owns them. (Beaver did not respond to requests for comment.) The pseudonym blog Dirty Bubble Media documented some of the weirdness surrounding celebrity NFT pushes, with some celebrities giving NFT a more financial interest. Tracking blockchain movements to theorize that they may have, including beavers, advertise more than they allow. Was he paid to promote some of the NFTs posted in either free NFTs or regular old US dollars?
I don’t know now.But say a fictional celebrity it was Accept free NFTs in exchange for promoting it. In this case, according to Bonnie Patten, Executive Director of the consumer advocacy group Truth in Advertising, the Federal Trade Commission’s current guidelines for social media promotion need to be applied. “The law makes it clear that the next time you are given an item to advertise, you need to clearly and prominently disclose that important connection,” she says. Ethan Wall, a lawyer specializing in legal issues related to social media, agrees. “The same rules that apply to influencers who get paid to promote their products and services apply to NFTs,” he says. Fictitious celebrities need to disclose that they are promoting their products in much the same way that they attach “#ad” or other disclosures to social media posts.
What if a celebrity receives a free NFT from a third-party organization, perhaps a marketing agency that acts as a concierge service or intermediary? Same transaction — current guidelines should also be applied. Robert Weissman, president of the consumer advocacy group Public Citizen, wasn’t created with the complex world of NFTs in mind, but believes that the basic principles of FTC’s approval guidelines are clear. “One of the core concepts is that people have the right to know when they are being promoted,” says Weissman. “It is the duty of advertisers and supporters to make positive disclosures about this effect when consumers are usually unaware that they are being advertised.”
So will the FTC enforce rules for celebrities and influencers who appear to be driving NFTs without properly disclosing their financial interests? It was unclear and the FTC refused to comment on its approach to NFT regulation.
..
