Nike filed a suit against StockX over StockX's Vault NFTs, indicting it of infringing the Nike brand. Nike also claimed it was able to purchase imitation sneakers on the StockX online marketplace.
The suit could set a precedent on the value of NFTs, thereby potentially damaging StockX's business.
What's StockX?
StockX is a platform that sells mainly sneakers but also serves clients who want to sell designer clothes, Nintendo company cartridges, and PlayStation 5 consoles.
What's StockX doing with NFTs?
StockX introduced the Vault NFT lineup in January. While NFTs don't offer a license of a physical asset, ITEM-specific Vault NFTs are issued in the form of an item shown in the image.
What is Nike's most significant problem with StockX selling NFTs?
Nike's main issue with Stockx is that they are stealing their Intellectual Property. Stockx has been violating the Nike trademark, which is a significant issue for them.
What is Stockx Saying About Nikes Claims?
Stockx has also spoken out, and they say that Nike's claims are "baseless and misleading."
Since March, they have argued that they have not been violating their trademark.
Right now, Stockx reputation has taken a hit from this trial case. NFTs have been getting bad news of late, and this trial adds more fuel to the fire of doubt.
