JPG Store has created a reporting system to protect the Cardano NFT community that allows collections to be flagged as derivatives, rugpulls and other labels. No punitive actions will be taken against collections with these flags besides an informative label next to the collection name.
This document contains our guidelines regarding this system, which should not be viewed as fixed, but rather an ongoing best-effort basis to tackle a complex issue that can change at any time in the future based on feedback from the community.
We are introducing these guidelines because there are a handful of bad actors who wish to scam, mislead or otherwise act in bad faith to take advantage of NFT collectors. This hurts not only collectors but also creators who are trying to bring original, innovative artwork to Cardano and grow our ecosystem.
Therefore, our team felt it was necessary, for the long-term health of our space, to provide informative labels on collections when it has received substantial community reports, have clear indications of points defined below, and a subsequent review by our team.
Derivative Flag
Inherently, the derivative flag on a collection does not indicate malicious activity. Instead, it informs traders that the community has seen parallels between the flagged collection and a pre-existing collection.
We, as JPG Store, do not define intent. A derivative can be a homage, a similar product, a possible infringement on IP, or a mixture of the above, but we mark these in order to provide context to users new to the space.
Provided below is a transparent overview of the process we intend to adopt. A collection will be marked as a derivative if it qualifies the statements below:
JPG Store has received substantial community reports regarding the collection.
The collection in question has a homophonous name, a name that is an extension upon the name of another collection, a name with world play that might drive mistaken traffic to the collection, the exact intended name as another but written with a different character set, or any combination of the above.
The collection’s artwork has similarities with another,r where a new entrant might get confused between the two. Similarities will be judged based on the art style, colour palette, composition, and subject matter. Typically, if the artwork uses an identical base model that has been resized, translated, pixelated, color changed, or otherwise edited in a low-effort manner, we will consider the collection a derivative.
The collection’s social media or other online presence are visually or narrative-wise similar enough to cause mistaken engagement.
Rugpull Flag
The rugpull flag indicates a “hard rug” where the creators of a project deliberately try to scam or mislead collectors. A collection will be marked as a rugpull if it qualifies the statements below:
JPG has received substantial community reports regarding the collection.
The collection has defrauded its collectors by removing its social media profiles or accessibility to its owners under suspicious circumstances without notice after minting has taken place.
Please keep in mind:
Any projects that close down before minting takes place would not be marked rugpull but will get their verification removed instead, if applicable.
Non-fulfilment of predictive expectations of trading details like floor prices, volume and trading frequency is not considered.
Inactive Flag
The inactive flag indicates that the team behind a project isn’t actively working on it. A collection will be marked as inactive if it qualifies the statements below:
JPG has received substantial community reports regarding the collection.
The collection existed in the community but is no longer active due to any of the reasons mentioned below:
6-12 Months of spotty / no messages/updates from the original team, uncertainty from mods
An official statement posted from the team itself regarding its hiatus or inactivity:
Due to financial instability, the team no longer has the funds to continue developing on its roadmap.
Due to exceptional circumstances (personal health, mental health, etc.), the team can no longer continue developing its roadmap.
Please keep in mind:
The roadmap will not be considered by non-fulfilment of predicted expectations of trading details such as floor prices, volume, and trading frequency.
This guideline is a growing document, and we will announce changes to it as we continue to build it up in coordination with stakeholders in the community.
*Please Note that collections with the derivative, inactive or rugpull label will not be shown on the carousel at the top of the homepage but will show in the trending collection section depending on the label: https://twitter.com/jpgstoreNFT/status/1637917889075314691
