The fact that NFTs are still unregulated is the source of much of the criticism. Opponents of NFTs argue that the unregulated nature of the business contributes significantly to climate change due to cryptocurrency' carbon footprint. Furthermore, many people believe that NFTs are used for money laundering, fraud, and other misleading practises. The market's proclivity for boom and bust cycles is commonly referred to as a 'bubble,' which many people regard as 'evil' because it is a manifestation of greed.

The NFT business is mostly unregulated because it is such a nascent market. Furthermore, they are a part of the greater crypto market, which is unregulated in and of itself. As a result, many say that fraud and scams are common in the NFT industry. There are few consequences for the culprits because there are no regulatory entities or oversight authority.

While intellectual property and copyright protection are two of the most important reasons for the establishment of NFTs, the tokens have fallen short in this regard. Although NFTs can provide holders with rights to a specific IP, they do not constitute legal ownership rights.

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