FRB’s Moish E. Peltz, Esq. Featured on Chainalysis’s Podcast Public Key
FRB’s Moish E. Peltz, Partner and Co-Chair of Emerging Technology & Blockchain, recently joined Ian Andrews of Chainalysis’s podcast series Public Key to discuss the intersection of blockchain, NFTs, and intellectual property and the legal implications of AI-generated content.
The episode begins with Moish highlighting the misconception of "code is law" in the crypto space, explaining that while blockchain transactions are cryptographically provable, they are not necessarily legally binding contracts. They delve into the challenges faced by the legal system in adapting to blockchain technology, including making informed decisions in ownership disputes and intellectual property cases involving digital assets.
As an active content writer and social media user, Moish is asked to revisit some of his recent posts and lend his current thoughts on the case involving the French fashion house Hermès and an artist who marketed NFT versions of the world-famous Birkin bag, or “MetaBirkins.” As explained in his article published earlier this year, Hermès was able to assert their “superpowers that come with being famous” in relation to the trademark infringements that were at play in this unique case. “I think this case was decided correctly,” Moish says on the jury’s decision to rule in favor of Hermès. “It will obviously be appealed, and it’ll be interesting to see how an appellate court grapples with these issues.”
Moish also touches on the issue of AI-generated content and copyright ownership. As AI language models advance, questions arise about who owns the content created by these models. They explore the legal implications surrounding AI-created works and how copyright laws struggle to determine the level of human involvement in the creative process. “When we get to things that are not created by humans … those are perceived as not protectable,” Moish explains. “There’s no creative human authorship.”
Concerns are also raised about the impact of AI and language models on the content industry, including the entertainment sector. With the potential for easy and instantaneous creation of high-quality content, the traditional content creation business model may be disrupted. However, Moish suggests that blockchain and NFTs could offer solutions by providing digital scarcity and authentication to distinguish authentic content from cheap knockoffs and disinformation.
Moish reflects on his experience working in the music industry during the era of file sharing, noting similarities between the challenges faced then and the current blockchain revolution. He discusses the potential for blockchain technology to revolutionize the music industry, pointing out how “there’s a direct parallel,” especially in terms of NFT ticketing and royalty distributions to NFT owners.
Listen to the podcast episode here:
Falcon Rappaport & Berkman is a licensee of Chainalysis. FRB’s Moish Peltz is a licensed Chainalysis Reactor Certification (CRC) user. Learn more about FRB’s legal services related to crypto investigations here: https://frblaw.com/digital-asset-recovery-and-enforcement/
Chainalysis is a blockchain analysis firm that helps government agencies, cryptocurrency businesses, and financial institutions engage confidently with cryptocurrency. Their podcast Public Key focuses on cryptocurrency and compliance and the emerging risks and opportunities in blockchain technology.
The intersection of blockchain, NFTs, and AI-generated content holds potential for reshaping various industries, including art and content creation. To learn more about the legal and practical challenges surrounding ownership, authenticity, and copyright protection of these technologies, please contact our Emerging Technology & Blockchain Practice Group professionals at (516) 599 – 0888 or fill out the form below.