NFTs
DraftKings to face lawsuit claiming its NFTs are securities
DraftKings Inc. and its leaders failed to convince a federal court that it should dismiss a proposed class-action lawsuit alleging it violated federal securities laws by failing to properly register its nonfungible tokens.
Plaintiff Justin Dufoe sufficiently alleged that DraftKings’ NFTs were investment contracts and therefore securities within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, Judge Denise L. Casper said Tuesday for the U.S. District Court for the District of Massachusetts.
Fata Law LLC, Hannafan & Hannafan Ltd., Kirby McInerney LLP and Berman Tabacco represent Dufoe. Wilmer Cutler Pickering Hale & Dorr …