The European Union Regulation 2022/858 of 30 May 2022 establishes a pilot regime for market infrastructures based on distributed ledger technology. The Pilot Regulation is part of the 2020 Digital Finance Strategy whose objective is for the European Union to embrace the digital revolution and to benefit consumers and business. This article analyses the reasons of this new regulatory option and why this represents a different paradigm of legislation, considering first some advantages, risks and challenges that applying distributed ledger technology in financial markets can encounter. Moreover, this article examines the content of the EU Pilot Regulation with a critical perspective, comparing the previous proposal of Regulation with the current Pilot Regulation which enters into force mainly in March 2023. Significance of this Pilot Regulation could be enhanced if it coordinates with other policy goals such as sustainability and transparency set by the EU legislator. Lacking that coordination, this Pilot Regulation could be perceived as a miss opportunity to foster a digital and green financial markets transition.
Blockchain is an innovative technology that allows for a more efficient life for people, through a variety of actions, including enabling trustworthy transactions and reducing operating costs. In relation to Blockchain, Smart Contracts have emerged, revolutionizing the field of contracts. There are great expectations surrounding these technological advances for various sectors such as finance or registration. However, despite the obvious benefits, some obstacles are being identified regarding compliance with regulations on personal data protection in the service of smart contracts, specifically in relation to privacy/confidentiality controls and the right to be forgotten due to the governing principles of Blockchain. Throughout the course of this paper, we will analyze the different facets that arise within the presented issue, as well as explore various global scenarios and the regulations, doctrine, and jurisprudence, both from Argentina and internationally, in order to envision potential solutions to the identified problems. It is our duty as legal professionals to delve into the revolutionary and disruptive technologies that are currently emerging, so that they can be used as allies both in the daily lives of citizens and in more complex scenarios. Furthermore, we must anticipate potential problems that may arise regarding their use in order to effectively address them.
The Russian penitentiary system is a large diversified industry with a total annual output of goods, works and services worth more than 30 billion rubles. The process of integrating such a manufacturer into the national digital economic system requires a special set of tools, one of which, in the author’s opinion, is a smart contract. The object of the study is the sphere of labor adaptation of convicts, subject is digital tools to improve efficiency of production processes and relations in the penitentiary system. The article studies the use of smart contracts as one of the promising directions for improving economic activity of correctional institutions and optimizing the contracting system. As a result of the study, the author concluded that it is advisable to develop smart contracts as a tool to strengthen and develop economic potential of the penitentiary system, and also suggested possible directions of its practical application.
The role and significance of the cryptocurrency phenomenon is defined. The directions of criminal use of cryptocurrencies are outlined. Algorithms for the use of cryptocurrencies and illegal crypto markets by Russian criminals have been revealed. The prerequisites and features of the use of cryptocurrency mixers and tumblers for the purpose of concealing criminal cryptocurrency operations are disclosed. The decentralized service “Tornado Cash” and the directions of its criminal use are characterized. Modern ways of circumventing sanctions and avoiding sanctions pressure during the purchase of cryptocurrencies by Russian war criminals and hackers have been identified. The features of the functioning of centralized and decentralized cryptocurrency exchanges in the context of existing and probable restrictions on cross-border cryptocurrency payments and p2p transfers by Russians are detailed. The basic provisions of the EU law on AML were considered in order to introduce restrictions on the implementation of anonymous cryptocurrency transactions. The positive experience of Israel in combating the financing of terrorism with the help of cryptocurrencies is highlighted. The further directions of improvement of the mechanisms to prevent the use of cryptocurrencies for the purpose of supporting war criminals and financing terrorism have been identified, including within the framework of regulatory settlement.
This article discusses the legal nature and features of non-fungible tokens (NFTs). The legislation of the Republic of Armenia does not regulate relations with irreplaceable marks. This article presents the legal status of NFTs and their possible place among the objects of civil rights defined by Article 132 of the RA Civil Code. The process of tokenization and its connection with the right of ownership is analyzed. The norms of intellectual property legislation are analyzed, and it is concluded that the buyer of NFTs representing an object of intellectual property does not automatically acquire intellectual property rights to the object: these rights can be transferred to the buyer of NFTs through smart contracts or traditional legal instruments. The possibility of implementing smart contracts in Armenia is analyzed in the absence of special regulations for smart contracts.
Objective: In the ongoing digital era, digital rights are a major concern and demand measures to address challenges that encompass the management of effective law implementation. The following study aims at the contrivance and administration of international law to address digital rights. Method: Legal aspects of digital technology, also known as information technology law, is a practical field of law that has established a strong position among other legal fields in recent years, both in legal firms and educational institutions. Fresh technological advancements like massive data, the Web of Things, quantum computation, distributed ledger technology, and advanced formulas provoke inquiries concerning the governance of these technologies, such as the entitlements and safeguards that individuals possess or ought to possess. The growing utilization of electronic technologies by corporations and governments prompts various inquiries concerning the management of these technologies, specifically concerning the privileges and lawful safeguards individuals have a claim to. Result: The emphasis is primarily on the utilization and possible alteration of current (basic) entitlements. Nevertheless, the argument and lawful exploration in this domain needs a more extensive conversation regarding the novel entitlements that individuals ought to possess in the digital epoch. Occasionally, novel ideas emerge, like the concept of the 'right to erasure'. Conclusion: This piece of writing discusses the inquiry of what fresh, supplementary entitlements could be envisioned in the age of technology if we were to compose them anew, without being restricted to a predetermined collection of essential liberties. To initiate a more extensive lawful discussion on this matter, several novel entitlements for individuals in the electronic sphere are suggested.
The idea of smart healthcare assumes the implementation of integrated platforms based on the Internet of Medical Things to improve the quality of medical processes. An indispensable condition for the development of smart healthcare is ensuring the security of medical data. The article presents a framework for the implementation of cryptographic proof of smart contracts in healthcare systems. The proposed architecture implements secure procedures for processing Electronic Health Records (EHRs) based on an access control array. The cryptographic proof of smart contracts ensures the security of medical data processing and also allows for non-repudiation, enforceability, and accountability of digital agreements made between system actors. We developed an open data exchange format for EHRs stored in the blockchain based on a nested tree structure and the DOM interface. The article presents algorithms for creating, executing and validating smart contracts for processing medical data contained in EHRs. The proposed solutions were subjected to empirical tests and cybersecurity assessment in terms of threat and vulnerability analysis using the risk analysis method. Steps recommended by ENISA and elements of the methodology developed by NIST were used to develop a strategy for minimizing the identified threats and vulnerabilities.
There has been a rise in the demand for blockchain-based smart contract development platforms and language implementations. On the other hand, smart contracts and blockchain applications are generated using non-standard software life cycles, which means that, for example, distributed applications are rarely updated, or bugs are fully addressed by releasing a newer version, leading to security flaws and challenges for users to adopt the technology. Smart contracts have gained significant attention due to their potential to automate and secure various transactions in diverse domains. However, the increasing adoption of smart contracts has also raised concerns about security vulnerabilities and potential risks. In this paper, an overview of smart contracts was discussed in detail. It further distinguished and compared smart contracts security with conventional security regarding security, privacy, communication channel, etc. Different platforms for smart contracts, such as Bitcoin, Ethereum, Counterparty, Stellar, Monax, and Lisk, are also discussed in this paper. Some proposed techniques are used in different areas for handling security threats in smart contracts. In addition, a taxonomy of the smart contracts security application was proposed, which attempts to solve some of the flaws and inadequacies in smart contracts. The study also provides a comprehensive smart contracts security scenario with different techniques. Lastly, the possible attacks posed by threats and vulnerabilities of the smart contracts are provided. The security threats and vulnerabilities addressed in this study are unique to smart contracts.
This scientific overview explores the application of blockchain technology and smart contracts in the insurance industry. It discusses their impact on various aspects such as claims management, underwriting, policy management, fraud prevention, and emerging trends. The benefits of automation, transparency, and efficiency in claims management are highlighted, along with examples of successful implementation. The potential of blockchain in enhancing underwriting processes and risk assessment through access to trusted data is explained. The advantages of transparent and auditable policy records, policy issuance, and enforcement through smart contracts are discussed. The role of blockchain in combating insurance fraud and its potential to improve trust and transparency are examined. The challenges of scalability, regulation, interoperability, and privacy are addressed, along with strategies for successful adoption. Lastly, the emerging trends of tokenization, parametric insurance, and peer-to-peer insurance are explored, envisioning a transformed insurance landscape driven by blockchain and smart contracts.
Objective : to research the existing problems and promising directions of the legal regulation of digital financial assets as a relatively new tool of the modern digital economy. Methods : the methodological basis of the work is the set of scientific cognition methods such as theoretical analysis, research, comparison, synthesis, and summarization of scientific literature. Results : the work analyzes the existing approaches to legal regulation of digital financial assets in the Russian Federation and some foreign countries, reveals the existing gaps in the Russian legislation in the field of circulation of digital financial assets, gives estimation to the prospects of development of the legal regulation of these tools and forms proposals for its improving. Also, during the research, the approaches to legal regulation of digital currencies and digital financial assets, adopted in certain foreign countries, were analyzed, the trends were considered, and the positive and negative aspects of using cryptographic algorithms for the goals in economic and juridical spheres of the global economy were reflected. Scientific novelty : within the work, the topical issues of legislative regulation of such a relatively new notion as digital financial assets are considered. The positions of Russian and foreign jurist are considered concerning the existing problems and risks associated with “tokenization” and “blockachainization” of private law. Besides, the author comes to a conclusion about the existence of significant gaps in the current approach to legal regulation of digital financial assets, indicates them and proposes certain mechanisms to solve these problems. Practical significance : is due to the imperfect current legislation in the sphere of relations occurring when using the technologies based of distributed ledger, including digital financial assets. Research of these problems allows evaluating the risks, considering the existing ways of overcoming and solving the emerging disputable questions. Also, the conclusions obtained can be used to improve the Russian legislation, as well as in the academic literature devoted to the topical issues of developing the digital legislation.
A smart legal contract is a binding contract in which some or all the contractual terms are defined in and/or performed automatically by a computer program. It runs on a blockchain platform and carries the features of the blockchain of being automatically self-executed, and immutable, providing permanent records with real-time information, and reducing cumbersome documentation using high processing power. In major jurisdictions around the world, it is generally recognised that the smart legal contract is capable of having contractual force just like a traditional natural language contract. It has the potential to have entire complex commercial contracts written in and executed by computer codes. This chapter explains the concept and operation of the smart legal contract. Its advancement as an integral part of legal practices and a mainstream area of law is described in chronological order. The judgement of the first significant case relating to the use of smart contracts is unpacked. Whilst the acceptance of smart contracts by legal practices has gained pace, novel legal issues have been emerging in this area of law. This chapter identifies and proposes solutions to key legal issues arising from the operation of computer code and the resolution of disputes of smart legal contracts.
Blockchain technology has transcended its origins in cryptocurrency and is now poised to transform various aspects of the legal and business landscape by implementing smart contracts. Smart contracts, which operate on blockchain networks and are self-executing, programmable contracts, have the potential to completely change how agreements are made, carried out, and enforced. In order to shed light on their benefits, drawbacks, and potential future ramifications, this article examines the development of blockchain-based intelligent contracts and their influence on legal and corporate procedures. Traditional methods of managing and carrying out contracts are frequently time consuming, expensive, and prone to disagreements. Blockchain technology's smart contracts provide a decentralized, automated, and impenetrable means of drafting, carrying out, and upholding contracts. This article explains how smart contracts can streamline processes across multiple industries, including finance, real estate, supply chain management, and intellectual property by carefully exploring the technological foundations and real-world use cases of smart contracts. Smart contracts' potential societal and economic effects, such as decreased transaction costs, increased effectiveness, and improved. This article promotes interdisciplinary study and collaboration among legal scholars, technologists, and business professionals to fully realize the promise of blockchain-based intelligent contracts. It ends by imagining a time when smart time when smart contracts are fully incorporated into daily life, revolutionizing the way contracts are established and carried out in the digital age.
We provide (1) an overview of various present and future applications of smart contracts across various industries including real estate, finance, and healthcare and (2) an assessment of the efficacy of smart contracts as a means of replacing or supplementing traditional contracts. Disclosed in this paper are (1) present and future applications of smart contracts and potential risks and downsides, and (2) legal considerations when using smart contracts to replace or supplement traditional contracts. Aspects of blockchain technologies can be applied to traditional contracts, in part or in whole, to reduce common challenges associated with contracts. Specifically, smart contracts can be integrated with or replace traditional contracts with the benefit of ensuring reciprocal obligations are enforced and aid in ensuring mutual consent, offer and acceptance, consideration and legal purpose.
Tema ovog diplomskog rada je Pametni ugovori temeljeni na blokchain tehnologijama s fokusom na objašnjenje njihovog funkcioniranja i primjene. U prvom dijelu rada detaljno je objašnjen koncept blockchaina koristeći primjer Bitcoina kao prve decentralizirane digitalne valute. Analizirali smo strukturu blockchaina, njegovu decentralizaciju i sigurnost transakcija. Nadalje, poseban naglasak je stavljen na Ethereum, vodeću platformu za izgradnju decentraliziranih aplikacija i pametnih ugovora. Detaljno smo opisali rad Ethereuma, uključujući Ethereum Virtual Machine (EVM), koja je glavna u izvršavanja pametnih ugovora na Ethereumu. Pametni ugovori su programabilni ugovori koji se izvršavaju na blockchainu, a u radu smo ih detaljno objasnili. Opisali smo kako se pametni ugovori programiraju koristeći jezik Solidity te kako se njihova izvršavanja osiguravaju putem konsenzusnih mehanizama blockchaina. Uz teorijski dio, rad je sadržavao i praktični primjer pametnog ugovora dijeljenja plaća zaposlenicima. U implementaciji primjera, korišten je programski jezik pametnih ugovora Solidity i Ethereum blockchain platforma. Detaljno su objašnjeni koraci izrade pametnog ugovora, definiranje uvjeta i raspodjelu plaća. Na samom kraju smo pokazali različitu primjenu blockchain tehnologije i pametnih ugovora u svijetu gdje možemo zaključiti kako blockchain tehnologija može pružiti transparentnost, sigurnost i učinkovitost u različitim sektorima. Očekuje se da će njihova primjena i utjecaj rasti u budućnosti, pružajući nove mogućnosti i promjene u raznim industrijama.
Purpose: The purpose of the study is to analyze the regulation of cryptocurrencies within the specific context of Competition Law. The research aims to examine the interrelationship between Competition Law and the blockchain technology that underlies cryptocurrencies. Theoretical framework: Cryptocurrencies is of concern in almost all the jurisdiction across the global and is of great challenge before all the regulators. The acceptance given to cryptocurrencies across various industries and among various countries is steadily increasing. This research paper would analyze on the regulation of cryptocurrencies in specific lines of Competition Law. Design/methodology/approach: The research undertaken is a Doctrinal one. The study mainly depends on the collection of primary and secondary sources from books, journals, websites, case laws and such other sources. This study uses analytical, critical, comparative and other necessary methods to deduce the conclusion and to make out the findings of the study and to provide the suggestions. Findings: The obtained results of the study allowed us to establish that there is a close interrelationship between Competition Law and the technology that operates the cryptocurrency which is the block chain technology. Cryptocurrencies give rise to several common and particular challenges to Competition Law enforcement agencies. They include the jurisdiction issue, market area, network effect, onus of liability, mergers and acquisitions, etc. Research, Practical & Social implications: The paper contributes to the understanding of the regulation of cryptocurrencies, specifically within the context of Competition Law. The paper sheds light on the legal implications of cryptocurrencies and provides insights into their impact on competition in various industries. The findings of this research can inform policymakers, regulators, and legal professionals involved in shaping the regulatory framework for cryptocurrencies. The research paper contributes to fostering a better understanding of the potential impact on market dynamics, consumer protection, and fair business practices. This understanding can promote transparency, trust, and accountability in the use of cryptocurrencies, benefiting both businesses and consumers. Originality/value: The result of the research paper would give possible solutions to the problem faced by the Competition Law enforcement agencies in dealing with cases related to cryptocurrencies.
The paper discusses one of the most promising and widespread digital innovations in FinTech, the so-called smart contracts, which have the potential to increase the financial stability of the economy and entrepreneurship based on the digital modernization of other industries, including digital law. Methods. Based on the IMD statistics, a profile of the development of smart contracts in the Russian Federation in 2021 has been compiled. A factor analysis of the development of smart contracts in the Russian Federation in 2013–2021 has been carried out using the regression analysis method. Results. A forecast has been made and alternative scenarios for the development of smart contracts in Russia have been identified. It is proved that in Russia the current (as of 2021) level of development of smart contracts is moderate. A set of practical recommendations has been proposed to improve it. Conclusions. The key conclusion based on the results of the study is that the basis of the organization of smart contracts is the use of machine code and security protocols. The most common technology for securing smart contracts is blockchain. The results of modeling, forecasting and the proposed authors’ recommendations have identified significant prospects for the development of smart contracts in the financial sector in Russia.

 The 21st century is known for its strong technological advancements, where blockchain technology and a cutting-edge product built on it like cryptocurrencies are evolving daily. According to recent research, bitcoin is particularly appealing to both experienced and novice investors. Numerous individuals and legal entities around the world accept cryptocurrencies as payment. Cryptocurrency can be used to purchase both products and services. As a result, the need for legal regulation of cryptocurrency is high on the priority list.
 The purpose of this article is to evaluate the legal status of cryptocurrencies, namely what its legal character is and whether it is conceivable to treat cryptographic currency as an object of private law, as property, as electronic money, or as virtual cash. Is it better than traditional currencies, and if so, what are they? All of the foregoing will be reviewed in light of the suggestions of the United States of America, Australia, Argentina, Brazil, Germany, Zealand, Japan, South Korea, China, Georgia, and the European Central Bank.
Introduction. This scientific article dedicated to certain aspects of such virtual benefits/assets as the NFT token (non-fungible token) and place of them in the obligations relationship. The legal framework and legal practice regarding non- non-fungible token is currently absent, which is a characteristic situation not only for domestic jurisprudence, but also for the world. In view of the above, there is a need to investigate the nature of this phenomenon. Summary. The article analyzes the proposed legislative definition of "virtual asset" in relation to the NFT token. The study of individual features of this phenomenon makes it necessary to turn to its displayed technical characteristics at the current stage. Yes, it is determined that the NFT token performs an authentication function and cannot exist independently without its attachment to another object of civil rights. Without such a combination, exclusively as a code (a set of signs), the token cannot be regarded as an intangible (virtual) benefits, since the token certifies a subjective right to another object of civil rights, and therefore should be considered precisely as an asset (benefits), which has a providing nature. Attention is focused on the fact that one of the main problems of legal uncertainty in this category is the question of what exactly individuals acquire when buying an NFT token, since in fact the token is usually associated with another object, which gives it a real value. The relationship between the non-fungible token and the start-contract was analyzed and the possible legal consequences of their interaction determined. Conclusions. Non-fungible tokens exist in a decentralized system and are closely related to the smart contract already at the stage of their creation, therefore, provided there are no imperative requirements from the law, the latter can be considered as a type of civil law contract, which, in turn, due to constant interaction the connection between them makes it possible to single out certain features of the binding nature of this phenomenon.
Penny Wells, Georgia Probert, Daniel Marke, Claudia Konopka
Blockchain technology makes it possible to handle a transaction decentralized. We intend to outline the history of blockchain technology in this position paper, go over one of its key components, the smart contract, and discuss some of its recent uses in the cryptocurrency, financial services, risk management, and Internet of Things industries.
Mohamed Imran Zacky, Syahri Helmi, Isadora Della Cella
Since the invention of Bitcoin, blockchain technology has expanded to include more than just digital money. Because it was quickly developed and widely adopted, the blockchain allows users to perform secure transactions in an unreliable environment. One of the most critical components of real-world blockchain applications is the smart contract. In addition to being integrated into well-known blockchain-based development platforms like Ethereum and Hyperledger, smart contracts have in the digital economy and in the intelligent industries, there are a variety of potential application situations, including, among others, management, healthcare, the Internet of Things, and financial services. This paper's main objective is to present a comprehensive analysis of the research on smart contracts, including information on their inner workings, basic architecture, use cases, challenges, most recent developments, and possible future paths. Though they are still in their infancy, smart contracts have significant technical difficulties like security and privacy concerns that require more investigation. Before proposing a study of a framework based on a for smart contracts revolutionary architecture with six layers, the technique first described the workings and popular platforms of blockchain-enabled smart contracts. Second, a list of the current state of the research is provided, together with the technical and legal difficulties. In the third place, we provided several typical application examples. We talked about the several directions that smart contracts could take at the end. The purpose of this document is to serve as a useful guide and source for future research projects.
Although blockchain technology has recently attracted a lot of attention, there are still several technical challenges, such as security and scalability. This paper provides a comprehensive overview of blockchain applications and smart contracts, their primary issues, and appropriate solutions, and will assist to identify any gaps and future study. It also identifies the areas in which recent studies have concentrated. 292 papers were picked for the study from the best digital libraries. Only 28 publications were taken into consideration after a thorough review procedure using predetermined inclusion and exclusion criteria.
This paper presents arguments about a need to study a new phenomenon in cyberspace - non-fungible tokens (NFT) as an object of legal relations and an object of accounting. A brief essential characteristic of these objects is given; the market of their turnover, Russian legal norms and accounting standards were studied. The objects of accounting from the Russian Federal Law No. 402-FZ "On Accounting", the criteria of referring to these objects in relation to NFT are considered. Afterward, we outlined the legal and accounting problems associated with the emergence of a new object and the ways for further research. Keywords: assets, expenses, business transaction, digital assets, copyrights, intellectual property, cyberspace, digital product, token.
The subject of the research is the study of mining, cryptocurrency, crypto assets in the legislation of the Kyrgyz Republic. Relevance . The relevance of the article is due to the presence of gaps in the field of mining, cryptocurrency, crypto assets in the legislation of the Kyrgyz Republic. The objectives of the article are to analyze the areas of mining, cryptocurrency, crypto assets and identify legal problems, as well as make proposals for improving the national legislation of the Kyrgyz Republic. Methodology . The authors use scientific methods: general methods (analysis, synthesis, induction, deduction, comparison); special methods (legal, comparative legal). Main results. Problems were identified, such as: lack of legal status of crypto assets, cryptocurrencies; lack of legal status of a cryptocurrency exchange operator; the system of risk management in the field of cryptocurrency is not indicated; lack of detailed study of the legal status of mining; subjects of mining, mining objects, classification of mining, standards for conducting financial transactions are not defined; lack of understanding of the nature of cryptocurrencies, crypto assets and virtual assets; lack of licensing and permitting activities in the field of mining, cryptocurrency, crypto assets; the absence of the category of mining, cryptocurrencies, crypto assets in the State Classifier of Economic Activities; lack of legal status of blockchain in the format of a regulatory legal act and etc. Relevant proposals were given: to finalize and adopt a single regulatory legal act (in the form of a law) in the field of crypto assets, cryptocurrencies, since they are interconnected; establish the legal status of a cryptocurrency exchange operator and introduce licensing and permitting activities (obtaining a license from the National Bank of the Kyrgyz Republic); develop and adopt a regulatory legal act (in the form of a law) on mining, with a detailed designation of what mining is, its classification, mining object, mining subjects; understand the nature of cryptocurrencies, crypto assets, virtual assets and understand what they can be attributed to, in particular, to money, a product, a medium of exchange, a universal service or other activity; Enshrine in civil law the concepts of cryptocurrency, crypto assets, virtual assets, including the rights and obligations arising from them; add to the Law of the Kyrgyz Republic "On licensing and permitting activities of the system in the Kyrgyz Republic" paragraph 61 of Article 15 - the activity of mining, cryptocurrency, crypto assets; add a category to the State Classifier of Economic Activities - mining, cryptocurrencies, crypto assets; form a working group at the level of the Cabinet of Ministers of the Kyrgyz Republic to study blockchain technology with areas of application, both in the private sector and in the public sector, including smart contracts and etc. Conclusion. Introduce legal regulators in the field of mining, cryptocurrency, crypto assets in the Kyrgyz Republic in order to avoid possible legal gaps that can lead to negative consequences in relation to the state, ranging from various shadow schemes in the economy that can slow down the digital transformation of the country.
The subject . The paper considers the legal status of non-fungible tokens – a technology that allows to secure and confirm the possession of a certificate that refers to a specific digital object, based on a distributed ledger (blockchain). The purpose of the article is to research the current state of the legal status of NFTs in the Russian Federation, as well as to determine the applicability of the current Russian legislation to NFTs. The research methodology is based on the application of methods of systemic and structural analysis, formal logic, as well as methods of legal forecasting and interpretation of legal norms. The results. There is a lack of comprehensive studies on this issue in legal science. The value of NFT is substantiated through the categories of "rivalrousness" and "scarcity". The process of creating NFT - "mint", that is, the tokenization of a digital object, is described. The legal status of NFT is investigated, as a result of which it is concluded that the token is not equivalent to a digital object, but rather acts as a custodian of information about this object. Taking into account, firstly, the independent nature of the NFT, which is not only a digital copy of the original work, secondly, the vast scope of utilitarian application and, thirdly, its independent commercial value, it is indicated that in the perspective of the development of legislation and judicial practice, NFT should be regarded as an independent digital asset, the rights to which are subject to legal protection. Conclusions. At present, Russian legislation does not contain a legal structure suitable for NFTs. The problems of using NFT are highlighted, including the "tokenization" of other people's works, interference in the operation of trading platforms using technical vulnerabilities, as well as fraud. Since NFT can confirm not only the right of ownership, but also represent any subjective right, it is assumed that this technology can be used to maintain decentralized blockchain registries of real estate, shares, members of the society, vote in elections, as well as to verify identity, while simultaneously ensuring the protection of personal data.