NFT License FAQs

What am I allowed to do with the art associated with my NFT?

 

You have broad rights to use the art associated with your NFT. In the case of Aqua Nauts, you can do any of the following:

  • Use your Aqua Nauts art for your own personal, non-commercial use;

  • Use the Aqua Nauts art when you’re on a marketplace that allows the purchase and sale of your Aqua Naut, so long as the marketplace cryptographically verifies that you are the owner;

  • Use the Aqua Naut art when you’re on a third party website or app that allows the inclusion, involvement, or participation of your Aqua Naut, so long as the website/app cryptographically verifies that you are the owner, and the Aqua Naut art doesn’t stay on the website/app after you’ve left; and

  • Use the Aqua Naut art to commercialize your own merchandise, provided that you aren’t earning more than $100,000 in revenue each year from doing so.

 

What am I NOT allowed to do with the art associated with my NFT?

 

There are a few things that aren’t appropriate uses for your NFT art. They include:

  • Modifying the art;

  • Using the art to market or sell third-party products;

  • Using the art in connection with images of hatred, violence, or other inappropriate behaviour; or

  • Trying to trademark your art, or otherwise acquire intellectual property rights in it.

 

What does “personal, non-commercial use” mean?

It’s personal, non-commercial use if you’re copying or using your NFT art in a way that doesn’t involve selling or using it (or trying to sell or use it) for commercial gain. Some examples of personal, non-commercial use include:

  • Printing a copy of your NFT art on a t-shirt or hat that you wear yourself, or give to a small group of friends;

  • Commissioning a famous painter to paint a special painting of your Aqua Naut art, that you put on your wall at home; or

  • Making a video using your Aqua Naut art, that you share with your family or a small group of friends.

 

What does “cryptographically verify” mean, and why is it important?

 

The goal is to make sure that you enjoy the full benefits of NFT ownership. First and foremost, that means making every effort to make sure that only the real owner of the NFT gets to use the art associated with it. We want any marketplace or third party site/app that incorporates NFTs to check to confirm that anyone placing art on that marketplace/site/app actually owns the associated NFT. They can do this by checking the blockchain record. This way, only you can use the NFT art you own!

 

Why can’t I modify the art of my NFT?

Just like your NFT, the art is unique. If anyone could simply change their own NFT to look like yours, that wouldn’t be cool. So, we ask that you don’t change your art to look like anyone else’s! If you want a NFT with different attributes, have fun creating it yourself the way the game intended!

 

What about overlays or extensions - are they prohibited modifications, too?

 

No. In the case of Aqua Nauts, you can dress up your Aqua Naut in a glittery dress, put it in armor, or give it a cool hat. So long as the overlay or extension doesn’t actually modify the Aqua Naut art itself, you’re good to go.

 

Am I allowed to commercialize my art?

Yes, so long as you’re earning less than $100,000 in gross revenue per year as a result of your efforts. If you’re earning (or think you might earn) more than that, you’ll need to contact the creator of the NFT (Kat Mills Designs) and negotiate a special commercial use license. This special license might include a revenue share, a royalty payment, or other applicable terms.

 

Why is there a restriction on how much money I can make using my art?

Kat Mills Designs created the art of your NFT, and it’s likely a big part of their brand. Commercializing your art is exciting, but at the end of the day, businesses also need to have the right to make the big decisions about how the art gets used in a commercial setting.

We’ve tried to balance these interests by allowing you to make up to $100,000 a year off of your art, while we reserve to ourselves the right to make bigger deals to help our business grow.

 

How do you know how much I’m earning from my art? How will you enforce this rule?

For now, we’re operating on the honour system. We expect you to be honest, and to respect the fine balance we’re trying to create. If we discover that you’re not complying with the license in some way, we reserve the right to terminate the license. If that happens, while you’ll still own your NFT, you’ll lose the rights to use the art associated with it.

I want to create a new marketplace, website, or application that involves the purchase and sale of NFTs, or the inclusion, involvement, or participation of NFTs. Is that restricted, too?

There is no restriction. The revenue limitation in the license only governs people who are trying to commercialize their own art - not people who are trying to create new and unique experiences for Aqua Nauts or other NFTs. We encourage you to create marketplaces, websites, and applications that involve the purchase, sale, inclusion, involvement, or participation of Aqua Nauts and other NFTs!