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NFT Trademark Guide Published by UKIPO
The United Kingdom Intellectual Property Office (UKIPO) recently published a guide. As such, it is titled “The Classification of Non-fungible Tokens (NFTs), Virtual Goods and Services Offered in the Metaverse.” This move is part of the UK government’s ongoing efforts to understand and regulate the rapidly growing NFT sector and the NFT trademark universe.
Preparation of NFT trademarks and intellectual property rights
Published on Monday 3 April, the guidance provides important information for clients seeking UK trade marks related to NFTs, digital assets and the metaverse. UKIPO’s decision to publish the guide coincides with an increase in NFT trade mark applications. US Patent and Trademark Office (USPTO) and European Union Intellectual Property Office (EUIPO), UKIPO’s guide aims to provide clarity in this burgeoning field.
The report defines an NFT as a “unique and immutable digital certificate of authenticity” that represents ownership of assets without necessarily conferring underlying intellectual property rights, such as copyright. As such, UKIPO’s guide outlines what it considers to be NFTs, including digital art, applications, sound files, digital files and images. The institution included directions for NFT-backed physical goods, club memberships and other services.
Guidelines and Challenges in the UK’s NFT Trademark Landscape
According to the guidance, all NFTs can be sold or offered via an online marketplace, in the same way as other goods and services. In addition, the UKIPO shared guidelines for the metaverse, specifying which services it considers acceptable and which it does not. The report claims that the UKIPO will accept services that can be delivered virtually, such as training services.
However, not all NFT-related schemes have gone smoothly in the UK. Treasury recently withdrew its plans to release government-backed NFTs, originally proposed by Prime Minister Rishi Sunak. Nevertheless, the NFT sector continues to innovate. Especially with venture capitalist Animoca Brands releasing a set of NFT licenses that enforce royalties on creators.
The need for a solid framework in the NFT trademark regulation
As NFTs are still a relatively new phenomenon, the sector has yet to establish a solid, universal framework regarding copyright, terms of use and trademarks. Public regulation of the space can help to provide a stronger basis for the asset class. It can also reduce misunderstandings and future legal disputes.
UKIPO’s guide paves the way for a clearer NFT regulatory environment
UKIPO’s recently published guidance on NFT trademarks is a significant step forward. With it, the UK government will continue its efforts to understand and regulate the fast-growing NFT sector. By providing important information and guidance for clients seeking UK trademarks related to NFTs, digital assets and the metaverse, the UKIPO contributes to the development of a more stable and clear regulatory environment for this emerging industry.
