• A recent court ruling by Judge Victor Marrero found that the use of certain emojis by DapperLabs in promotional materials could be classified as investment advice.
• Former SEC branch chief Lisa Braganca warned the public against using certain emojis in promotional materials following the ruling.
• The court filing referenced a tweet from Dapper Labs which used rocket ship, stock market, and money bags emoji to show market performance.
Court Ruling on Emojis as Investment Advice
A recent court ruling by Judge Victor Marrero found that the use of certain emojis by DapperLabs in promotional materials could be classified as investment advice. The ruling was made in response to a lawsuit filed against Dapper Labs and its CEO Roham Gharegozlou for allegedly violating securities laws by offering its NBA Top Shot Moments. According to the filing, using emojis relating to rocket ships, stock charts, and money bags objectively mean one thing: a financial return on investment.
Former SEC Chief Warns Against Using Emojis for Investment Advice
Following this ruling, former SEC branch chief Lisa Braganca warned the public against using certain emojis in promotional materials via Twitter. The court filing referenced a tweet from Dapper Labs which used rocket ship, stock market, and money bags emoji to show market performance. Although Dapper Labs argued that the use of these emojis was intended to provide accuracy to market data and not a means of promoting sales, it was ruled otherwise by Judge Marrero.
NBA Top Shot Moments
NBA Top Shot Moments are non-fungible tokens (NFT) that capture key highlights and video clips from NBA games. These tokens were being promoted as an investment opportunity through carefully chosen emojis according to plaintiffs who filed the lawsuit against Dapper Labs.
Crypto Community Reactions
Several members of the crypto community have argued that Emojis could mean different things to different folks, hence, a rule on its usage could impede freedom of speech. This is especially concerning with regards to tweets which can often contain nuanced messages that are difficult or impossible for regulators or courts to interpret accurately without context or additional information being provided by users themselves.
Conclusion
The court’s ruling serves as an important reminder for all those involved in cryptocurrency marketing activities regarding their responsibility when it comes to potentially misleading statements or representations made online – even if they are only done so via seemingly harmless emoticons or images such as rocketships or moneybags! It is essential that companies remain mindful when creating promotional content so as not inadvertently violate any local regulations related securities law compliance