With great power comes great responsibilities. 💪🏻

Hello Nutty Family 🥜

Hope you had an amazing weekend! Let us start this week with some classic nutty news. Today we will cover,

• With great power comes great responsblities 💪🏻

• The battle within the Solana ecosystem 🆚

• Some other NEWS in a Nutshell 🥜

• Nutty memes 🥜

With great power comes great responsibilities 💪🏻

 Yes you heard that right, we miss uncle Ben 😭.  With all of the recent reports, his quote has taken on even more significance! 💫

We already had celebrities being dragged to court for the FTX fiasco when another bombshell dropped. 💣

A bunch of celebrities, Moonpay and Yuga Labs are being dragged to court for shilling monkey jpegs! 👨🏻‍⚖️

Wait who is Yuga Labs? They are the creators of the popular NFT collection Bored Ape Yatch Club and Mutant Ape Yatch Club. Along with it they also created Ape coin and own a bunch of other IPs. 🐵

What are the allegations?

• The celebrities were paid to talk about BAYC. 🐒

• There was a middleman involved, a talent manager guy named Guy Oseary 🖕🏻

• Moonpay facilitated all the payments. 🌚

• There are 37 co-defendants in the case 😱

• Co-defendants include Snoop Dog, Justin Bieber, and Paris Hilton among many 😮

Nut for thought: 🥜

Let us “assume” that our beloved celebrities were not paid for tweeting or posting about BAYC. Should it be considered fine in that scenario? I mean then it means they did it out of their own free will.

(imagine Elon Musk posting about Nutshell_Daily 😍)

Before you think we are looking to justify the celebrities’ actions, read further. Our point is something different. 👇🏻

What should NFTs be classified as—securities or digital art? 🤔

Until now, the vast majority of projects have been marketed as “digital art.” 🖼️

What is the difference between a digital art and security in this context?

With digital art, you are essentially selling a jpeg on the internet. You hold no responsibility for resale value, and the buyer must be buying it just for the pleasure of buying art. 🖖🏻

However, if you classify NFTs as securities, the resale value comes into play. 🎲

Why are hedge funds not allowed to market themselves openly? It is because they are highly risky investments. It is not suitable for retail investors. 🤫

As far as we understand till now, the law ⚖️ views NFTs and crypto as securities. This would imply that celebrities cannot talk about it casually. 🗨️

Have you heard them talking about where they invest their money? No, right?

But what if celebrities were not paid, rather considered this a fad and bought it for the pleasure of collecting art? 👨🏻‍🎨

(This is an assumption and hypothetical situation)

We are not lawyers so we cannot accurately answer that question. However as far we understood there is alot of grey area when it comes to NFTs. 

However, one thing is clear, NFTs and crypto are risky and should be bought after careful consideration. 🚧

At the same time celebrities command alot of influence over the general public. They should exercise the power 💪🏻 of their following carefully. It is because it can sometimes have disastrous results for some individuals. 😥 (looks in the mirror)

The regulations around crypto and NFTs are still very unclear and the web3 journey is just starting! 🆕But don't worry, Nutshell Daily 🥜 is here to keep the Nutty Family up to date on all things nutty 🥜.

The battle within the Solana ecosystem 🆚

The silent battle between Metaplex and Magic Eden just got public. Both of them claim to be the white knight on the mission to decentralize solana eco-system. 🎠

• Metaplex - Creator of the NFT standard on Solana

• Magic Eden - The largest marketplace on Solana

Yup, it is a battle between the Titans of the Solana ecosystem.

To give more context. Metaplex currently holds the key to every NFT on the Solana system. They can effectively modify anything. (like replacing all pictures in Solana ecosystem with pictures of nuts 🥜❤️‍🔥)  However they claim they will never do it and that they have full intentions of decentralising their protocol with time. ⏰

Allegations by Metaplex:

• They are being repeatedly approached for a governance model involving 7 participants.

• Magic Eden and its allies are looking to seize control of the Solana NFT standard

Allegations by Magic Eden:

• Metaplex has commercial interests in holding complete power over the NFT standards.

• Metaplex is looking to drive value to their coin $MPLX

Metaplex and Magic Eden both released their official statements in tweets respectively.

Nutty Take 🥜

Both of them have considerable influence over the Solana eco-system. The only way forward is co-operation and decentralisation. They need to figure it out internally in an amicable manner.

Some other NEWS in a Nutshell 🥜

• Binance announced an investigation into certain trading pairs with unusual price movements. CZ further confirmed that after preliminary investigations we can rule out the possibility of it being hack-related.

• According to Crypto.com, a third-party audit report by Mazars Group revealed that they have sufficient reserves to back their customer holdings. (Phew!)

• According to an article by Decrypt, Starbuck’s Odyssey has received a phenomenal response on its opening.

Nutty Meme 🥜

This guy took SBF to the moon and back.

That is all for today folks! The week defintely started off nutty with celebrities getting dragged to court and titans fighting among themselves. It is the perfect time to lay back, relax and study about web3 along with nuts 🥜 and popcorn. 🍿

See ya on Wednesday! <3

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