OpenSea NFT Gifting Feature Raises Concerns About Mislabeled Transactions

Profile picture
Decrypt
9w ago2022-08-02

A new “gifting” feature on leading NFT marketplace OpenSea is causing confusion over mislabeled transactions—something that could potentially be exploited by predatory NFT traders.

NFTs—unique blockchain tokens that signify ownership of digital items—can now be sent directly to any wallet during the purchase process on OpenSea. This means traders can buy an NFT with Ethereum from one wallet, but deliver the NFT to another wallet in a single transaction. 

And on some third-party wallet trackers—trading apps that keep tabs on NFT purchases made by influencers and celebrities—the new feature launched on Friday is making it look like the gift recipient purchased the NFT for themselves.

The feature is allegedly already being “exploited” to make it look like public figures and influencers such as Gary Vaynerchuk are buying NFTs from various collections, according to a Twitter post from Metaverse HQ's pseudonymous founder "JakeandBake."