Dear Bankless Nation,

This week, former OpenSea head of product Nate Chastain was arrested and indicted in New York on one count of money laundering and one count of wire fraud in connection to his insider trading activities at OpenSea last year.

Some thought the charges showed America’s regulatory floodgates were opening. Many others wondered what this meant for some NFTs’ potential status as securities.

However, the case against Chastain seems pretty singular, since it’s based upon his defraudment of OpenSea, his employer, via front page listings he helped determine while at OpenSea.

Additionally, NFTs don’t have to be securities for the U.S. regulators to crack down on manipulative and fraudulent practices in the space, as many web3 lawyers have noted by now.

We’ll have to wait and see how Chastain’s defense goes, and I’ll keep you updated in Metaversal along the way. In the meantime, thanks for reading as always, and I hope you have a great weekend.

-WMP

🛒 NFT News & Platforms

• Zora published the Zora API, which can be used to retrieve all sorts of useful data related to ERC721 NFTs.
• Gem rolled out a Smart Collection Search feature.
• GoDaddy published a primer on ENS domains for its corporate clients:

• Hyype added support for ENS domains.
• Lens Protocol, the web3 social media project, allowlisted Pooly NFT holders.
• Warner Bros. is tapping its Looney Tunes IP for a new series of NFT projects.

🏆 Digital Collectibles

• goblintown.wtf has burst onto the NFT scene in rather absurd, but spectacular, fashion.
• Nouns DAO sold Noun #287 to Lil Nouns DAO in a notable DAO-to-DAO deal.
• Crypto Coven opened up summonings for its Coven Cats expansion collection.
• Avastars are going 3D.
• Animon rugged collectors to the tune of ~$6.3M, per a new ZachXBT investigation.
• Rollbit, an NFT-based casino, purchased 12 Bored Apes for distributing as jackpot prizes:

🎨 Art

• Jim Carrey, via MoonPay, purchased The Wild Within - ‘Devotion’ on SuperRare:

• Justin Maller is releasing his new FACETS series on June 15th.
• SuperRare announced its Space Race 3 winners.

🎮 NFT Gaming

• Midnight Society, the video game studio founded by streamer extraordinaire Dr. Disrespect, announced a collaboration with Polygon Studios; the partners will work together to develop a trading platform for in-game items.
• Method, one of the world’s most renowned esports organizations, has started an NFT gaming guild.
• Axie Infinity launched public testing for its new Lunacian Codes referral feature.

💽 Music

• Beat Foundry kicked off a public mint of Daniel Allan’s The Collages beat series:

• Coopahtroopa.eth published This Week in Music NFTs - May 30th.

🌐 Virtual Worlds

• Decentraland community members approved adding OnChainChains to Decentraland’s Wearables Registry system.
• The Sandbox distributed 5M mSAND tokens to LAND holders.

💎 DeFi x NFTs

• Sudoswap open-sourced its NFT AMM smart contract code.
• JPEG’d unveiled The Citadel system.

Action steps

• 📺 Watch Decentralized Society | Interview with Glen Weyl, Puja Ohlhaver, and Leon Erichsen on Green Pill
• 📺 Watch Interview with CoinFund founder Jake Brukhman on Overpriced JPEGs
• 🧐 Read my other latest write-ups EVM metaverse landscape and How to earn more Uniswap trading fees if you missed them
• 🧐 Check out the mintable Global Tax Guide created by BanklessDAO