Lynn Johannson, Advisor, Sustainability and ESG
January 4th, 2024
Lynn Johannson, President of E2 Management Corporation and Catalyst for THE Collaboration
In a care[...]
What do you mean NFTs can now by cloned by ‘Mimics’?
Cointelegraph Magazine | Kelsie Nabben | May 31, 2022
In the precariousness of Web3 open-source code, iterative development and “move fast” ethos, things break [and] things are also made. A new project allows anyone to create a copy of someone else’s NFT, aptly named “Mimics.”
Cloning your NFTs
Anonymous Founder, Mimics:
I think I just broke the NFT market
It turns out that art NFTs have a line of code in them called “tokenURI” or “URI” that acts like a pointer to the image being displayed. As the code is public, you can redirect your own NFT to make it look like anyone else’s. If you want your NFT to display a Cypherpunk, a Bored Ape, or how about a Pudgy Penguin?
See: After you die what happens to your digital assets and NFTs?
This means that your rare and expensive cartoon image NFT can essentially be cloned, not just by right-clicking copy-save as, and making another NFT of the same image but as a verifiable copy that has remnants of the real thing through code. Users rushing to clone a Bored Ape should beware, however:
Joni Pirovich, Crypto lawyer:
This could be a blatant breach of copyright or other IP. To determine rights that attach to the ownership of the token, and any image or metadata associated with the token, the buyer should try to identify whether any terms and conditions and any IP license applies to the ‘sale.
What does this mean?
At this stage, Mimics don’t have implications for NFTs beyond artworks (such as copying NFTs with distinct functionalities to attest to membership). Only the metadata such as name, description, media and other attributes that are provided by the tokenURI can be mimicked. Instead of being “law” to provably enforce the rules of the system, code here is the undermining factor in NFT security.
See: UK Court recognizes NFTs as ‘private property’
Mimics prove the thesis by well-known cryptographer “Moxie” that crypto lacks cryptography in some respects — referring to cryptographically secure components of the codebase that make aspects of unique ownership provable, private and/or permissioned. Ironically, someone has already used the mimic contract to copy Moxie’s NFTs. The purpose of a blockchain ledger is to prove provenance, yet it is still extremely difficult to verify that an NFT is from a legitimate artist.
Current NFT standards do the opposite of protecting your art at the code level. Maybe this article and the associated code will provide some impetus” for a future where ERC standards are improved and iterated on and become even more widely adopted. The goal is to build a better standard for their information infrastructures.
Continue to the full article --> here
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
 |  |  |
Support NCFA by Following us on Twitter!Follow @NCFACanada  |
Related Posts
FCA Issues Temporary Registration Ahead of Crypto Ban to Retail Investors- Meta Files New Patent: Voice ID Data for User Authentication…Progress or Privacy Concern?
- Canada’s Tech Adoption is Declining Compared to OECD Peers
- 7 Ways to Bridge the Blue Finance Gap
- Reverse Mortgage Debt Skyrockets 31% YoY Among Canadian Seniors
- It’s instant – I get a message, and it’s received: Central bankers comb for crypto clues as Bahamas launches ‘Sand Dollar’
Leave a Reply