When you buy an NFT, you don’t completely own it – here’s why

In March 2021, a digital collage by the artist Beeple sold for US$69 million.

Dinusha Mendis suggests that NFTs are essentially tradeable jpegs or gifs, and explores in her article what buyers truly own from a legal perspective.

First of all, the work of art, except on a screen, is not a physical representation (such as a painting on canvas). The artwork (drawing, music…) is created on a computer by an artist or an artist’s collective.

Under UK copyright law, an NFT holder only becomes the owner of the work with a digital ownership certificate.

Beyond this he or she has no rights to display it publicly or reproduce the work unless specifically stated.

This suggests that NFTs are neither a guarantee that the work purchased is “authentic” nor what exactly you are getting for your money.