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13 May 2022
Issue: 7978 / Categories: Features
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NFTs as property: what next?

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Non-fungible tokens have been confirmed as property by the High Court: Racheal Muldoon of 36 Commercial and counsel for the successful applicant hails the ruling & explores its implications for NFTs going forward
  • In March, the High Court recognised for the first time that non-fungible tokens (NFTs) constitute property and are therefore capable of being the subject of an injunction.
  • There are many implications of this landmark ruling, including that it empowers NFT holders to seek recourse from the courts where NFTs have been unlawfully removed, and suggests that NFTs are taxable and can be held on trust etc.

Non-fungible tokens (NFTs) are often ridiculed as valueless digital images of apes, capable of being downloaded by anyone at the click of a mouse. The unprecedented acceleration in the demand for NFTs in 2021, as captured in the recently published The Art Market 2022 Report by Art Basel and UBS, is equally disregarded as a short-lived ‘fad’. But what of these criticisms if NFTs constituted legal property?

On 10 March of this year, Pelling

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MOVERS & SHAKERS

Gibson Dunn—Richard Surtees

Gibson Dunn—Richard Surtees

Gibson Dunn adds employee benefits and executive compensation practice in London with partner Richard Surtees

Laytons ETL—Alec Cameron

Laytons ETL—Alec Cameron

Laytons ETL appoints new partner and head of intellectual property disputes

Muckle LLP—Roland Fairlamb

Muckle LLP—Roland Fairlamb

Specialist associate solicitor rejoins Muckle’s leading employment team

NEWS
A series of recent decisions has clarified important principles across property law, from perpetuities to lease renewals and public rights over land
Employers cannot rely on wellbeing services alone to defend workplace stress claims after a High Court decision awarding almost £1m to an overworked employee
Andy Burnham's brand of 'Manchesterism' could offer fresh thinking on legal aid and access to justice if it reaches Westminster, according to Roger Smith, NLJ columnist and former director of JUSTICE
The constitutional fallout from a change of prime minister, rather than the politics, is under scrutiny as questions arise over the limits of executive authority in a leadership transition
The legal profession is undergoing a fundamental shift from selling services to creating technology-enabled products, according to Professor Luke Mason, Head of School of Law at Regent's University London
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