NFTs are now considered an asset property according to Singapore High Court Judge Justice Lee Seiu Kin. The non-fungible tokens meet the requirements to be declared property by Singapore law.
The decision for this ruling is related to a case of a Bored Ape NFT used as collateral to loan money. Both parties used the NFTfi platform to lend $150,000 in exchange for BAYC #2162.
The previous owner sued the lender which froze the NFT trading on the market. This is the first time an NFT trading has been paused due to a commercial dispute.
Today, Singaporean Justice Seiu Kin explained that NFT will be labeled as a digital asset property.
The Singapore High Court is making an effort to protect consumers from risks but also establish a good rule of law for NFT owners. After all, Singapore is one of the leading blockchain adopters.