The Metaverse is the latest thing in the world of social media. It allows users to make avatars and do all sorts of things that seem fun and interesting to them. This virtual playground has all sorts of points of interest even casinos.
Slotie is one such casino and it enabled people to get together and enjoy some casino games as well as invest in some NFTs. However, it recently received an order to cease operation from 4 US states as the NFTs sale was illegal.
Illegal Sale of NFTs Halted
There’s nothing strange about casinos operating in the Metaverse. There’s nothing strange about NFTs as well because they are frequent in the Metaverse as well. But there was something fishy about the way Slotie was selling NFTs to investors.
Representatives of New Jersey, Texas, Kentucky, and Alabama have issued an order for the casino to stop its operations as they were illegal. This order was issued because the investors never knew essential information about the business such as the address, telephone number, and e-mail address.
The states did right in stopping illegal activity because the investors are at risk of being swindled like the many victims of online scams. The Metaverse is relatively young which is why all users, not just investors, need to take extra precautions to remain safe. In situations like these, it’s better to stay safe as you don’t know what might happen.
Slotie will need to disclose information about its finances, liabilities, revenue, and more because of its operation of metaverse casinos. They also have 31 days to seek a hearing on the issue and will need to respond in a timely fashion otherwise it’s liable to a fine of $10,000. So far, there hasn’t been any feedback from the company.
The online world has several virtual playgrounds that cater to lots of users. Some of them are investors or businessmen that are looking to use the money to purchase things which makes these playgrounds risky for them. Companies should always disclose vital information to their clients. In other words, the clients need to know how to reach the company, and where it’s located.
The state where it’s based should be aware of the financial operations of the company. This is the way companies operate regardless if they’re set in the Metaverse or not. It’s entirely possible that Slotie had no bad intentions, they just made the mistake of not following procedure. There’s also the possibility that it may have done an illegal act willingly. Time will tell if the company was looking to go one of the ways, and how it will behave in the future.
Staying safe in the online world is important. The same can be said about the Metaverse which is why companies need to follow procedures when selling NFTs to investors. All online users should take extra steps to be careful when doing business online or just roaming around the Metaverse doing all kinds of things.