User Sues OpenSea for $1M

The American online non-fungible token (NFT) platform, OpenSea was recently sued for allegedly failing to adopt adequate measures to protect users. Widely known as ‘eBay of NFTs,’ OpenSea has a record of $11 billion in sales generated in four years. This includes the $3 million sales of Bored Ape Yacht Club (BAYC) NFT. User Thimothy McKimmy filed a federal court case against OpenSea, stating that even though the firm was aware of security vulnerabilities, it still did not inform users or put necessary safety measures in a timely manner. How Did Thimothy McKimmy Lose His BAYC NFT? According to the lawsuit filed by McKimmy, BAYC is made of 10,000 unique NFTs. The current entry price for the lowest valued Bored Ape is 98 ETH ($307,564). Ownership of the BAYC NFT helps in granting entry to the Yacht Club that offers members-only services. One of the advantages of being a member of the Club is to have the chance to converse with other members such as Stephen Curry, Shaquille O’Neal, Serena Williams, Kevin Hart, Justin Beiber, Eminem, and many more. McKimmy, the plaintiff in the suit, claims to be the original owner of Bored Ape #3475, and his Bored Ape NFT was stolen, advertised, sold to another user on OpenSea on February 7. The suit claims that “instead of shutting down its platform to address and rectify these security issues, Defendant continued to operate.” The defendant in question here is OpenSea and McKimmy alleges that Ope...