Securities Regulators Bring Action Against NFTs Tied To Metaverse Gambling

According to a press release from the Texas State Securities Board and related reports, the state securities regulators of New Jersey, Kentucky, Alabama and Texas have commenced coordinated enforcement actions against Slotie, a company based in the country of Georgia. According to the press release, "The actions accuse Slotie NFT ("Slotie") of illegally and fraudulently selling nonfungible tokens, often referred to as NFTs, to raise capital for online and metaverse casinos."

The company is alleged to be soliciting investors online to purchase Slotie NFTs that purportedly provide the investors with ownership interests in online and metaverse casinos and the right to share passively in the income of the casinos. Slotie also is alleged to be illegally offering and selling WATTS, which according to the press release is another type of NFT that "plays a key role in the illegal scheme" by purportedly enabling investors to double profits, along with granting ownership of a