OpeanSea, a leading NFT marketplace, seems to have drawn the attention of the US Securities and Exchanges Commission (SEC). According to a statement released by the firm’s top head, the most infamous regulator in the crypto space has sent a Wells Notice to OpenSea.
Earlier today, co-founder and CEO Devin Finzer took to X stating, “We’re shocked the SEC would make such a sweeping move against creators and artists. But we’re ready to stand up and fight.”
He further added that, “Cryptocurrencies have long been in the crosshairs of the SEC, and companies like @coinbase, @Uniswap, @RobinhoodApp, @krakenfx, and @Consensys have been fighting against the SEC’s single-track approach of “regulation by enforcement.”
NFTs: To be securities or not to be securities?
A wells notice is a formal notice issued by the SEC expressing its intention of the bringing a legal action against the firm. In this particular case, the commission is alleging that the firm has breached securities law as they consider NFTs on OpenSea to be securities in nature.
However, OpenSea’s chief argued that they are “are fundamentally creative goods: art, collectibles, video game items, domain names, event tickets, and more.” He further asserted that d”digital art” should not be put in the same platter as “collateralized debt obligations”.
The story is still developing.
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