Two artists sued the SEC over whether NFTs are securities and their jurisdiction
Two NFT artists have sued the US SEC over whether NFTs are securities and their jurisdiction. Law professor Brian Frye and "Song a Day Mann" songwriter Jonathan Mann filed a lawsuit on Monday against the US SEC and its five commissioners in the Eastern District Court of Louisiana.
The artists' lawyers accused the SEC of launching a "campaign to assert jurisdiction over the sale of digital art," citing Taylor Swift's ticket as an example, and referencing the agency's recent two cases involving NFTs. Both companies are preparing NFT projects and seeking declaratory judgments from the court.
SEC declined to comment on the complaint. Ashley Ebersole, General Counsel of 0x Labs and former SEC lawyer, said that the SEC's previous NFT enforcement actions have reached settlements, so the court rarely has the opportunity to consider whether NFTs are securities.
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