Nike is suing online reseller StockX for selling images of Nike shoes in the form of non-fungible tokens (NFTs) without any approval, Reuters reports.
The company claims StockX's NFTs infringe its trademarks as the digital collectibles might confuse consumers and "create a false association between those products and Nike" as the reseller promised buyers they would be able to redeem the NFTs for physical versions of the shoes "in the near future."
The lawsuit reportedly asked for unspecified money damages. Nike also wants to block the Detroit-based company from making any other similar sales. Nike believes the company has already sold over 500 branded NFTs.
Meanwhile, Adidas teamed up with Prada for their new project dubbed "adidas for Prada re-source." The collaboration particularly featured user-generated art in the form of NFTs.
The international brands accepted photos for the so-called open-Metaverse NFT project, where 3,000 photos were minted as NFTs and later compiled into a "single mass-patchwork NFT" designed by digital artist Zach Lieberman.