Thanks to a high court decision on Friday, NFTs now have a legal position in Singapore that is comparable to that of property. The order makes reference to an injunction case from May involving the purchase of a Bored Ape Yacht Club NFT. The judge affirmed that NFTs satisfy the criteria for being regarded as property. As a result, the decision will have a big effect on NFTs in Singapore and possibly everywhere else.

NFTs Are Now Properties According To Singapore High Court

The sale of a Bored Ape Yacht Club NFT has been the subject of a legal dispute that has reached Singapore’s highest court.

Justice Lee Seiu Kin confirmed on Friday that NFTs satisfy the criteria to be considered a property. NFTs’ ability to be distinguished from one another is a significant factor in this.

It is the first injunction of its type in Asia. Additionally, the request’s nature—a business dispute involving NFTs—is highly uncommon in the entire world. When the legal system continues to advance with technology, we will see more web3-related lawsuits in the upcoming years.

Next Up For NFT Law

To defend his BAYC NFT, Mr. Janesh Rajkumar initially presented the Singapore NFT case. On the social media platform NFTfi, he used the NFT collection as collateral for cryptocurrency loans.

With a person going by the name of “chefpierre,” Mr. Janesh had agreed to a loan, and he had asked for more time to pay it back.

The claimant claims that when the two parties started talking, Chefpierre rejected the proposed terms and threatened to take the NFT by foreclosing on it. Chefpierre ultimately got BAYC #2162 through the foreclosure process. In Singapore, Mr. Janesh filed a lawsuit to contest this.

In order to prevent the sale or transfer of the BAYC NFT, the judge in the NFT Singapore case then issued an injunction.

Due to the BAYC injunction, NFTs now have the status of property. This isn’t a final verdict, though. “A different decision may easily be reached with the benefit of fuller submissions,” Justice Lee added.