It comes four weeks after a federal judge found DraftKings NFTs fell “within the meaning” of the Securities Act and Exchange Act and thus could be securities.
Sports betting platform DraftKings has shut down its nonfungible token business effective immediately due to recent “legal developments.”
It comes four weeks after a federal court judge denied a motion to dismiss from DraftKings related to a class action lawsuit alleging the DraftKings-issued NFTs were unregistered securities.
“After careful consideration, DraftKings has decided to discontinue Reignmakers and our NFT Marketplace, effective immediately, due to recent legal developments,” DraftKings reportedly told users in an email.
