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The NFT space is one of the fastest-growing parts of the blockchain market. NFTs are also expanding rapidly within the games industry. So, it should be evident that NFTs and esports together have tremendous potential. 

In this article, we will discuss some potential legal issues and opportunities that might arise due to the intersection of these trends.


Non-fungible tokens are called NFTs. A token represents a physical or digital asset and is unique. Blockchain technology is used to create tokens. Tokens represent assets that typically do not reside on blockchains. 

Under the token’s metadata, the underlying asset appears and its location. NFTs cover a variety of assets, including television highlights, trading cards, collectibles, and digital media, such as pictures, music, and videos. 

At the moment, NBA Top Shot is the leading NFT marketplace. It’s a video streaming service that offers videos of game highlights from NBA games. Dapper Labs, the company that created the NFT, was reported to be valued at $7.5bn due to the platform’s popularity.


NFTs with an esports focus has many opportunities. Many esports-related NFTs feature highlights from esports competitions, player images, and other digital memorabilia. 

These items can be anything from a weapon used to win a competition to artwork and memorabilia. As well as live ticketing events, NFTs can be used for many other purposes. Another type of token that has gained popularity is fan tokens. These tokens allow fans to engage and participate with their teams. 

Fan tokens can come with various rights, including governance rights, unique access to content, and rewards, among others. With the OG Esports Fan Token, fans can vote in surveys to have a tokenized share in team decisions. Natus Vincere, Team Alliance, and Team Heretics have also launched fan tokens.

Legal Issues in Esports & NFT

A fundamental legal issue relating to NFTs is the scope of rights. NFTs are generally licensed for certain digital media pieces associated with NFTs, although the copyright underlying the NFTs belongs to the original creator. 

Though the purchaser of the NFT may own the token part of the NFT, the actual digital rights to the file are typically not. Dapper produces NBA highlights under license from the NBA. License rights may be more complicated with esports. 

Certain entities may have rights that could be relevant to esports. Games publishers, teams, leagues, players, tournament organizers, and others may be part of this list. It is essential for those wishing to establish esports-based NFTs to obtain all necessary rights from the appropriate entity or entities.

There may be a need for the game’s publisher’s permission if esports highlights depicting the game are included in an NFT without exceptions based on the fair use doctrine. 

NFTs cannot be used to enter a chance or prize competition in a way that does not violate legal gambling regulations. Understanding these requirements will allow consumers to protect their digital assets and businesses to comply with gambling laws. 

The NFT has opened new doors in digital technology markets and the iGaming space, regardless of any regulations NFTs may face in the future.


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