Non-fungible tokens, or NFTs, have become overwhelmingly popular. There’s no questioning that. However, as NFT popularity continues to climb, the government is eventually going to step in and offer regulations aimed at making the industry safe for all participants. After all, at its very basic, the NFT market is a financial one, and history has told us that when financial markets are left unchecked, bad things happen.
That’s where Dapper Labs comes in.
You see, NFTs are a decentralized form of art, one where the only real regulatory body is the blockchain itself, and they were designed to live in that realm. So, when the federal government eventually does step in, it’s important that parties with a deep understanding of the industry are there to guide the government in the dos and don’ts of the space.
While Dapper Labs hasn’t publicly said it, I believe that’s why the company recently became the first entity, company or otherwise, to register to lobby on issues related to NFTs.
Dapper Labs Becomes the First NFT Lobbyist
As the result of a filing published Monday, Dapper Labs is now the first registered lobbyist on issues related to NFTs. This was a smart move. At the moment, policymakers are trying to get an understanding of the booming blockchain technology and crypto assets it supports.
To date, Congress has shied away from the policy discussion surrounding NFTs, and for good reason. They simply don’t know enough about the industry yet.
The operative word in that last statement being, “yet.”
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For some time, cryptocurrency and NFT enthusiasts have pointed to the fact that there would be regulatory battles ahead. In fact, there have already been other groups in the crypto community registering to lobby the government about cryptocurrency and the blockchain itself, though Dapper Labs was the first to bring NFTs into the fray.
Dapper Labs Is the Perfect Representative for the Community
When it comes to lobbyists that attempt to sway the government’s decisions in any industry, it’s important that those lobbyists have the best possible outcomes in mind for the audience they serve. There’s no question that Dapper Labs is the perfect representative for the NFT community. Just take a look at the projects the company has taken part in.
Dapper Labs is the company that operates NBA Top Shot, a marketplace where users can buy and sell NBA and WNBA NFTs that display video highlights from moments in games.
Dapper Recruits Heavyweights
Aside from simply registering as a lobbyist, Dapper Labs has recruited heavyweights for its team in Washington. First and foremost, the company has already made some key hires. Crossroads Strategies is now on the payroll, a lobbying group with several successes under its belt.
The company has also hired Alison Kutler, a veteran of the Federal Communications Commission who is now the head of government affairs.
Why Is Dapper In Washington?
While Dapper Labs hasn’t said much about its plans in Washington, Rachel Rogers, a company spokesperson, had said that the company plans on promoting education and mainstream adoption of Web3.
The company plans on bringing openness and transparency to the world through NFTs as an equal opportunity. There’s also the issues of taxes and consumer protection. In fact, one lobbyist on the crypto issue was recently quoted as saying:
“Do the existing, you know, laws and regulations, does policy … fit nicely into existing regulations for taxation or consumer protection, investment protection, etcetera, or does there need to be a new and different set of regulations developed? I think that’s something that policymakers are going to have to wrestle with for sure.”
The Bottom Line
The bottom line here is simple. NFTs have become overwhelmingly popular, and thus, overwhelmingly valuable. With this type of industry and financial opportunity emerging so quickly, regulation is all-but-expected, and Dapper Labs clearly hopes to shape the direction of that coming regulation.