A group of NFT holders sued the creators of the collection, claiming they made no significant steps to fulfill promised perks and had no knowledge of blockchain.
A group of 36 non-fungible token (NFT) holders have sued an art gallery and artist who made their NFTs, claiming they failed to follow through on a metaverse-based private club and other promised perks.
In an Oct. 9 complaint filed in a New York federal court, the group claimed Eden Gallery and artist Gal Yosef’s project “was a ‘rug pull’” scam.
The NFT collection, the Meta Eagle Club, sold 12,000 unique humanlike eagles and collected $13 million between February 2022 through November 2023.
