BitClout Reportedly Sells Celebrity-Based NFTs Without Permission

There has been a lot of frenzy around NFTs especially now that they are gaining a wider acceptance from the mainstream. In addition, there those who would want to utilize the technology for self-gains.  BitClout, a DeFI platform, has reportedly created NFTs (Non-fungible tokens) for some top personalities without their consent.

This current mania from crypto fans is understandable considering the potentials of NFTs. On the same day that Beeple sold $69 million worth of NFTs, CryptoPunk also reportedly made more than $7 million gain from NFT sales.

BitClout is an open-source social network that runs on blockchain technology. It has a native token called BitClout which can be used to purchase Creator Coins. The platform designed these Creator coins to reflect the reputation and social evaluation of the coin owners.

The platform designed NFTs, called Creator Coins, with their value tied to the personality of top figures. The price of the Creator Coins rises when people purchase the coins and drops when they are sold. This means that buyers could speculate and make gains from the rise and fall of the coins.

Could BitClout’s Intention be Genuine?

The network preloaded the profile of about 15,000 top influencers from Twitter including celebrities and developed their unique creator coins. While this may not seem that bad, the platform commenced the sales of the NFTs without the consent of the personalities.

Even though NFTs look promising, the fraudulent activities of bad actors could truncate its progress. The penetration of swindlers into the NFT market is one of the major plagues of the niche. Right now, the proliferation of counterfeit products in the space has become a major concern.

However, the price of some celebs creator coins has outrageously soared, far above its market price. At some point, the price for Drake was $1,746, while Kanye West was $7,101. However, following the news, BitClout’s website has reportedly become inaccessible.

Views and opinions expressed are solely those of the author and not of The DeChained or any affiliated party. Views or opinions expressed in this article (or any article on the website) are not financial advice. Articles are for informational purposes only. The author and The DeChained may hold positions in assets discussed in this or other articles.
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