In February, Nike filed a lawsuit against StockX alleging trademark infringement with sales of its non-fungible Nike sneaker “Vault” tokens. The resale giant responded to the litigation in March calling it a “baseless and misleading attempt to interfere with the application of a new secondary market technology that is increasingly popular and legal for the sale of its sneakers. and other property”. Last month, Nike amended its original complaint against StockX, adding that it purchased four pairs of counterfeit Air Jordan 1s on the market between December 2021 and January 2022.
In a document filed earlier today, StockX doubled down on the confidence it has in its authentication process, saying it has invested millions of dollars in authentication and has employed more than 300 authenticators across eleven centers. authentication around the world. StockX also said Nike had expressed confidence in its authentication in the past and showed no concerns about the process, despite previous opportunities to do so.
StockX also responded to Nike’s claims regarding the alleged acquisition of the four counterfeit Air Jordan 1s in the market and that the timing of Nike’s new counterfeit sneaker allegation is suspicious as the original lawsuit was against the NFTs of StockX.
StockX further explained in the amended filing that its NFT Vaults are not “virtual goods” or digital sneakers, but rather are tied to a specific physical product that has been authenticated by StockX. According to the market, the NFT simply serves as a “key” to the product, which allows the owner to sell or trade the item in the future without incurring additional transaction costs, delays, or possible damages or losses. associated with shipping physical sneakers to StockX and then to the final recipient.
“StockX was designed to make the secondary market safer and more efficient for consumers. We have invested millions of dollars to combat the proliferation of counterfeit products and now have one of the most rigorous authentication processes in the market. Plus, we continue to innovate for our consumers so they can access the products they love in technologically advanced ways, like our Vault NFT program,” StockX CEO Scott Cutler said in a statement.