PYMNTS-MonitorEdge-May-2024

IP-Stealing Artist Gets Burned by His Own Game as Cyber-Sleuths Pirate ‘MetaBirkin’ NFTs

MetaBirkin NFT

Two wrongs don’t make a right, as the old adage goes — but in some cases, the latter retaliatory act does provide a sense of much-needed karma, or at least a good laugh.

In this case, New York-based artist Mason Rothschild is not happy that some of the “MetaBirkin” NFTs he’s made — which are colorful, fur-covered knock-offs of the famed Hermès’ Birkin bags — are themselves now being pirated and resold online.

The actual handbags routinely sell for tens of thousands of dollars (with rare models sometimes auctioning for a few million), but the going rate for the fuzzy digital NFT versions is nothing to sneeze at, either — they are now selling for anywhere from $13,000 all the way up to $400,000.

But here’s the twist: Just how Mr. Rothschild attained, used and profited from his furry version of the trademarked Birkin bag name and image without getting the permission of the French luxury design house, so too have the cut-and-paste trolls lurking in the metaverse, who are now selling counterfeit MetaBirkins and not sharing the wealth with the artist, seen here in his blue hoodie during a recent interview on Yahoo! Finance.

“MetaBirkins is a collection of 100 unique NFTs created with faux fur in a range [of] contemporary color and graphic executions,” Rothschild’s website states, brazenly calling his art a “tribute to Hermes’ most famous handbag,” which he compliments as being one of the most exclusive, well-made luxury accessories.

“Its mysterious waitlist, intimidating price tags and extreme scarcity have made it a highly covetable ‘holy grail’ handbag that doubles as an investment or store of value,” the MetaBirkin creator said before acknowledging that his NFT designs “are not affiliated, associated, authorized, endorsed by or in any way officially connected with the HERMES [sic], or any of its subsidiaries or its affiliates.”

And yet, his MetaBirkins not only exist, but in some cases the digital derivatives have become more valuable than the actual thing.

For its part, the 185-year-old Parisian powerhouse, which has a market value of $165 billion, is understandably as concerned with the digital piracy of its intellectual property as it is with the robust black market for fake Birkins and other designer goods.

“Hermès did not authorize nor consent to the commercialization or creation of our Birkin bag by Mason Rothschild in the metaverse,” the company told the Financial Times, ironically noting that the company’s passion and appreciation for the “tangible expression of handcrafted physical objects” has actually kept it out of the NFT market altogether.

While the company has not disclosed the trademark enforcement actions it intends to take, the list of digital imposters looking to bag a few ill-begotten bucks via bogus Birkin NFTs is growing, including MetaBirkin!, Birkinmeta and a dozen more.

As much as this latest IP squabble is rife with David and Goliath or even Robin Hood undertones, given the corporate clout and wealthy demographic that Hermès caters to, it is surely not the only designer brand paying close attention to the trademark problem — or, more accurately, problems — that are emerging in the NFT space.

While the non-fungible token introduced itself to the world as a way to validate and protect the intrinsic value of authentic digital images, the young genre has clearly taken some unforeseen turns while the marketplace for — and speculation surrounding — them has grown to unthinkable levels.

To be sure, scores of mega-brands, including Coca-Cola and Nike, have chosen to bring their IP imagery to this burgeoning category, and clearly see value in being pioneers in something as hip and trendy as the metaverse while it is still under construction, so to speak.

Also see: Coca-Cola to Auction NFTs as a Fundraiser

While that may prove to be a smart bet, there’s still one key element that the cyber town of the future, where we’re all supposedly soon going to be virtually shopping, gathering and socializing, still lacks: a sheriff.

PYMNTS-MonitorEdge-May-2024