The MARQUES Cyberspace Team has published a new article on NFT domains (such as marques.nft). Today, there are over 6 billion NFT domains registered.

The article is by Team member Fabrice Bircker and is available to download on the Team’s page on the MARQUES website (log-in required).

It sets out what NFT domains are, and what they are used for, their advantages and drawbacks and the implications for trade mark owners. The article also explains that NFT domains are different from domain names, and the NFT domains ecosystem appears extremely liberal.

In particular, Fabrice warns about the danger of cybersquatting: “Visiting NFT marketplaces shows that many NFT domains reproducing trademarks are held by third parties which offer them for sale at out-of-pocket costs.” There is also a risk of phishing-like fraudulent schemes.

However, there is no UDRP or similar dispute resolution proceeding for NFT domains. Actions brand owners can take include proactively registering NFT domains corresponding to their trade marks and exploring brand protection programmes offered by some NFT domains providers. They can also file takedown requests, and use information in the blockchain for contact and tracking purposes.

The article concludes that, until regulation of NFTs is developed, trade mark owners will have to remain tough, imaginative and advocates of an adapted dispute resolution policy.

Read the article in full on the MARQUES Cyberspace Team page.

Fabrice Bircker is a lawyer with Plasseraud IP and a member of the Team.