🔔Breaking News! Dapper Labs, the NFT giant behind NBA Top Shot Moments, has reached a tentative settlement with investors who accused it of violating federal securities laws. 🏀

The $4M settlement, if approved, will end a nearly three-year legal battle. Investors claimed that the value of the NFTs would increase with the project's popularity, making them unregistered securities. They also accused Dapper Labs of preventing cash outs to keep value locked in.

Dapper Labs denied these claims, likening their NFTs to digital basketball cards. 🎴 The settlement would bar plaintiffs from claiming their NFTs are securities.

The company also agreed to business changes, including employee training on federal securities laws and ethical marketing, faster payments and withdrawals, and relinquishing control over its remaining FLOW tokens to ensure decentralization.

CEO Roham Gharegozlou sees this as a "great start" towards legal clarity on whether NFTs can be classified as securities. He's pushing for more regulatory clarity and legislation that consumer NFTs are not financial products.

What's your take on this? Are NFTs securities or digital collectibles? Share your thoughts below! 💭 #DapperLabs #NFTs #LegalBattle