Without a Dispute Resolution Mechanism, NFT Buyers Are Being Robbed in Plain Sight
The art industry is full of copycats and imposters. Anyone talented will attract positive and negative attention alike. Artists are no exception. The growing popularity of NFTs, or non-fungible tokens, has not necessarily made things better.
Imposters duping the fans of popular artists
Creators often come across some of their artwork tokenized on a blockchain and sold for big money by someone else. A very alarming situation, yet there is no immediate recourse for such nefarious practices.
The scenario above happened to Derek Laufman, a well-known artist. Although Laufman has never been involved in non-fungible tokens, some of his artwork was sold as NFTs through a popular marketplace. The seller of the NFTs made a fair bit of money from copying Laufman’s work yet never offered any explanation of compensation. When Laufman called it out on social media, the marketplace facilitating the sale removed the imposter’s account. It did nothing beyond that.
Unfortunately, people who bought the NFTs from Laufman’s imposter also got duped. They do not own any original artwork by Derek Laufman, as the NFTs were never legitimate.
Stories like this highlight the need for solutions capable of protecting buyers and artists alike. Those are hard to come by. But Astra protocol can offer a safety net for all parties involved, including the marketplaces.
Astra’s dispute resolution mechanism
Even with digital ownership of assets like NFTs, it can prove challenging for users to be 100% safe. The incident above illustrates that point rather well.
However, solutions like Astra protocol can be of tremendous value. At its core, the dispute resolution mechanism can help buyers recuperate their money from fraudulent activity such as impersonating an artist.
With Astra’s legal layer, it is possible for buyers and sellers to feel confident and safe during every transaction.
Buyers know they can get their money back if something doesn’t add up. Sellers know they must be honest, transparent, and on their best behavior at all times. Making it easier to open disputes brings more legitimacy to this industry and eliminates scammers, thieves, and other criminal activities.
As Astra protocol is compatible with all public blockchains, there is no reason for NFT marketplaces not to integrate this solution. In addition, Astra plugs into any existing platform and provides ways to restore funds in case of mishaps. All of this is possible thanks to the dispute resolution clause in smart contracts. It protects all parties and transactions at all times, making it easier to resolve any issues.
It is wise for NFT buyers to see what form of protection a marketplace provides. If there is no protection whatsoever, it is best to look elsewhere. Any platform integrating Astra protocol will gain a competitive advantage in this booming industry segment. It is crucial to offer protection to buyers. After all, it seems relatively easy to impersonate an artist and sell their artwork as NFTs without their knowledge.
Getting banned from a platform is a small price to pay when one can make thousands of dollars without recourse. With the help of Astra protocol, buyers feel safe, and criminals have no shot at making any money. It is a win-win situation for all parties involved.