NFT Trailblazer Dapper Lab Registers to Lobby with the U.S Government

By:

Updated: Jan 13, 2022, 12:59 GMT+00:00

Dapper Lab becomes the first to register to lobby NFTs. It may be just what the NFT market needs to avoid adverse regulatory action.

Dapper Lab and the Flow Blockchain

Away from U.S sports franchises, Dapper Lab is also behind the Flow (FLOW) blockchain. Flow is a blockchain designed to deliver speed and throughput improvements, while ensuring the preservation of a “developer friendly, ACID-compliant environment”. The platform targets games, apps, and the digital assets that power them. The team has also been behind CryptoKitties and Dapper Wallet.

When considering Dabber Lab and its position within the blockchain and NFT spaces, it’s not surprising that the team is looking to stay ahead on the regulatory front.

At the turn of the year, news hit the wires of Dapper Lab becoming the first company to register to lobby NFTs with the U.S government.

Dapper Lab’s move comes amidst heightened regulatory scrutiny, which has pressured the crypto market. Unlike the crypto market, however, the NFT marketplace has flourished at the turn of the year. While this is good news for the likes of Dapper Lab, it also means that NFTs will also appear on the radar of regulators around the world.

The Shift in the Regulatory Landscape Continues

Regulatory uncertainty has been on the rise since late 2021. The increased level of activity is reminiscent of 2018, which hurt Bitcoin (BTC) and the broader crypto market.

Investor profiles differ significantly today, with “Whales” delivering much-needed support at times of market stress.

Nonetheless, downside risks remain should crypto market leaders fail to navigate through the regulatory quagmire. U.S Congress already has the cryptos market and crypto mining in its sights.

Last week, we reported news of a U.S Congress sub-committee on Capitol Hill preparing a hearing on cryptos, crypto mining, and their impact on the environment.

With this year already shaping up to be a stellar year for the NFT market, Dapper Lab’s lead will be critical in shaping the NFT regulatory landscape in the year ahead.

Just this week, we reported on India’s RBI setting up a FINTECH division to monitor cryptos, including NFTs.

In what has proven to be a busy week, the IMF also raised concerns over cryptos and the interconnectedness with the global financial markets. The IMF’s views were aligned with those of the Bank of England, which had raised its concerns late last year.

FLOW Price Action

At the time of writing, FLOW was up by 1.12% to $8.025. Near-term, a move back through a current month high of $9.45 would support a return to $10.00 levels.

A break back through to $10.00 would then bring December’s high of $12.64 into play. FLOW had struck an ATH $44.60 back in April of last year.

About the Author

Bob Masonauthor

With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.