Nike has been killed with a class-action case, which accuses the sportswear veteran to draw a rug to close its non-fangbal token (NFT) platform RTFKT in January.
A group of RTFKT users led by Jagdeep Cheema claimed in the proposed class suit Filed On 25 April, in a Brooklyn Federal Court, in which Nike faced “significant loss” as a result of postponing his sneaker-theme NFT to get investors, then closed the stage.
The suit claimed that NFTs were unregistered securities, as Nike sold them without registering with the Securities and Exchange Commission. It accused the company of “using its prestigious brands and marketing leaders, which RTFKT sold, promoted, promote and promoted unregistered securities sold.”
“Because Nike NFT achieved its value from the success of a given promoter and project – here, Nike and its marketing efforts – investors bought this digital assets with the hope that its value will increase in future because the project grows in popularity based on the Nike brand,” the lawsuits argued.
The lawsuit asks for $ 5 million in loss, claiming that Nike broke the consumer protection laws and violated various states inappropriate trade and competition laws.
An American court has certainly not decided whether NFTs are securities. Nevertheless, in an April 9 letter to SEC, Marketplace Opensia urged the regulator to urge the laws of federal securities to exclude NFTs, arguing that they do not meet the legal definition of security.
In its case against Nike, the class group said the court does not need to rule the legal status of NFT to address the complaint.
NFT Market Price Dips
In 2021, Nike acquired the NFT firm RTFKT studio, which created virtual sneakers.
According to the complaint, as a result, the holders of the Nike NFT were told that the token could be traded by a colleague to a colleague on the secondary market and used to meet the challenges and quests that can give rise to awards.
Nike’s Crypto Kick NFT collection was averaging on average 3.5 ether (ETH), or about $ 8,000, when they were first listed on April 18, 2022, but were trading for about 0.009 ether, or were trading for about 0.009 ether, or as approximately 21 April, as about $ 16, 21 April,, about $ 16, as approximately $ 16, According To Opensea.
Nike shut down the RTFKT in January, which the class suit claimed that “prices fell and not cured,” and also snatched a chance to participate in challenges and quests, which the group argued that was a primary reason to buy tokens.
Connected: RTFKT’s Clonex avatars re -revealed after releasing NFTs
The total NFT market fell rapidly in the first quarter of 2025, with sales of 63% year-on-year, with sales of 63%, the total sales from January to March 2025 increased to $ 1.5 billion, below $ 4.1 billion during the same period in 2024.
Nike did not immediately respond to the remarks request.
magazine: Financial numerism in Crypto is over – this is the time to dream again
