NFT Sales Contract

NFT's are booming and relatively new and since they are secured by the Ethereum blockchain, and no one can modify the record of ownership or copy/paste a new NFT into existence, the whole world starts to learn the benefits them. From small artists to Hollywood megastars, everybody is interested in creating, buying, and selling NFT's.

What is an NFT Sales contract?

An NFT is basically a contract, provided by the NFT owner to transfer the NFT to a buyer, asserting that this digital piece is the original and all the others are just copies (or “digital prints,” if we were to use a real-life analog), and therefore is complementary to the smart contract feature. It can also be used as terms and conditions for your website or NFT marketplace.

NFT stands for "Non-fungible token" which can be best describes as a commercial term for items that are not interchangeable with other items because they have unique properties. Consider art, collectibles, your furniture, a picture image file, or your laptop, or even real estate. NFTs are tokens that we can use to represent ownership of unique items. They can only have one official owner at a time and they're secured by the ETH blockchain. In theory, the scope for NFTs is anything that is unique that needs provable ownership. Non-fungible tokens are used to create verifiable digital scarcity, as well as digital ownership, and the possibility of asset interoperability across multiple platforms.

If you want to start dealing with NFT's, make sure to create a solid Terms and Conditions (T&C) to arrange the creation, displaying, buying, and selling NFTs. This Terms and Conditions of Service arranges the legal agreements between a service provider and a person who uses that service. The person must agree to abide by the Terms of service in order to use the offered service, for example by placing it as a disclaimer to be shown to the visitors of a website.

Some examples of NFTs that exist today:

• Unique digital artwork;
• Unique shoes in a limited edition;
• In-game item;
• Essay;
• Digital collectible;
• Domain name.

The following articles are included in this NFT Contract template:

1. Introduction
2. Definitions
3. Eligibility
4. Changes
   
5. Fees
6. Privacy
7. Use of the website
8. Conduct
9. User Content
10. Intellectual Property
11. Sale by Auction
12. Your Ownership of the NFT's
13. Data Protection
14. Limitation of Services
15. Termination
16. Account Closure
17. Risks
18. Taxes
19. Disclaimers
20. Limitation of Liability
21. Indemnification
22. Amendment and Variation
23. Transfer
24. Assignment
25. Delegation
26. Severability
27. Entire Agreement
28. Translation
29. Waiver
30. Notices and Communications
31. Third-Party Rights
32. Applicable law and Jurisdiction
33. Signatures

Download this sample NFT Contract template for your reference.