Cointelegraph's Nifty Newsletter: Latest Updates on Nonfungible Tokens

"Friend.tech" Gains Popularity in Crypto Community, but Critics Question Sustainability

Friend.tech, a decentralized social media platform, has quickly become a sensation in the crypto world, attracting over 100,000 new users and generating more than 24,000 Ether (ETH) in trading volume since its beta version launch on Aug. 11.

While the app has been praised for bringing mainstream adoption to blockchain and attracting influential figures like gaming YouTuber Faze Banks and Russian protest group Pussy Riot, skeptics warn that the hype may not last.

OpenSea Disables Royalty Enforcement Tool, Causing Backlash

OpenSea, one of the leading NFT marketplaces, is disabling its on-chain royalty enforcement tool called "Operator Filter." This feature allows creators to blacklist marketplaces that don't enforce royalties. The change will take effect on Aug. 31, according to OpenSea founder and CEO Devin Finzer.

The decision has led Yuga Labs, the creators of the popular Bored Ape Yacht Club NFT collection, to end its support for OpenSea. Yuga Labs plans to wind down its support for the platform following this announcement.

Sotheby's and Yuga Labs Face Lawsuit Over Bored Ape NFTs

Fine arts auction house Sotheby's has been named in a class-action lawsuit filed by Bored Ape Yacht Club (BAYC) investors against Yuga Labs, the creators of the NFT collection. The lawsuit alleges that Sotheby's helped Yuga Labs deceive investors through promotional activities involving celebrities like Post Malone and Justin Bieber.

The lawsuit, filed in December 2022, claims that Yuga Labs and the celebrities artificially inflated the prices of Bored Ape NFTs through their endorsements.

Bitcoin Ordinals NFT Trading Volume Drops Significantly, DappRadar Reports

DappRadar, a leading analytics platform, has observed a massive 98% decline in trading volume for Bitcoin Ordinals NFTs since May. According to their report, the total sales volume for Ordinals has plummeted from $452 million in May to approximately $3 million as of Aug. 14.

In line with this decline, the number of transactions has also fallen by around 97% during the same period, raising concerns about the future of this NFT project.

The Rise and Fall of Orica: A "Charitable" NFT Marketplace Turns Controversial

Orica, an NFT marketplace launched in November 2021, positioned itself as an "ethical platform" benefiting artists, collectors, and charities. The project was involved in various charitable endeavors, including building a school in Uganda and supporting victims of human trafficking.

However, the founders of Orica have disappeared, and the marketplace's user interface has gone offline, leaving disgruntled users alleging a rug pull. In a surprising twist, co-founder Danial Zey breaks his year-long silence to deny all allegations and claim that the project was hacked. Cointelegraph investigates this controversy.

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