Dolce & Gabbana under arrest: Criticism of NFT collection

The famous fashion house Dolce & Gabbana found itself at the center of a scandal when an American investor, Luke Brown, filed a lawsuit against the company, accusing it of violating the terms of distribution of NFTs from their DGFamily collection. This not only raises questions about the rules and regulations of the virtual financial industry, but also puts the brand's reputation at risk.

The lawsuit, filed by Luke Brown, who represents several of the affected investors, alleges that Dolce & Gabbana USA violated the terms of NFT distribution, resulting in financial losses. According to Brown, the value of his NFT fell by 97%, which led to serious financial losses.

The company promoted its NFT collection by promising owners certain benefits, including access to exclusive events. However, according to Brown, in practice, tokens can only be used within a brand's metaverse, which significantly limits their functionality and value to owners.

In addition, the lawsuit states that the company delayed the delivery of NFTs by 20 days and even after that, owners could not access their tokens due to the lack of approval of the NFT marketplace UNXD. These delays and access issues have caused significant investor dissatisfaction.

Despite this scandal, NFTs continue to attract attention in the fashion industry. Projects like DGFamily face legal and financial liability challenges. However, innovation in the virtual realm presents new opportunities and challenges for brands looking to stay at the forefront of fashion and technology.

A lawsuit against Dolce & Gabbana calls into question the effectiveness and transparency of their NFT strategy. This case reminds brands to maintain high standards of financial innovation and responsible investment management to avoid reputational and legal issues.