Furthermore, allowing for refunds would eliminate the very purpose of rarity in profile picture projects — potentially eliminating their value altogether. Consider the example of Bored Ape Yacht Club NFTs. The highest-value BAYC purchase was for $3.4 million spent on #8817 — which was minted for roughly $1,000 in April 2021. Its rarity is partially a product of its “gold fur,” a trait held by less than 1% of BAYC NFTs on the market.
Of course, if buyers can simply request a refund in the event that they do not like the NFTs they randomly receive during the minting process, it’s safe to say that such “1% NFTs” will become much more common, as buyers will simply keep seeking refunds until they obtain the NFTs they want. If you follow the logical consequences of that thinking, there will no longer be rare NFTs in any corner of the market.
The reality is that the law around digital assets has not kept up with the technology, so there is naturally a temptation to rely on outdated, irrelevant regulatory guidance, for better or worse. But if we keep pressing on and companies innovate and serve consumers in good faith, we can converge to a new equilibrium that generates value on all sides of the equation.
This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.