Legal Protection of Digital Copyrighted Works Traded Through NFTs in the Perspective of Intellectual Property Rights

Abstract

The emergence of NFTs as digital marketplace technology has created new opportunities for artists and creators to monetize their works efficiently. Although Copyright Law Number 28 of 2014 serves as the primary legal framework for intellectual property protection in Indonesia, no specific regulations currently govern NFTs or digital copyrighted works traded through NFT platforms. This study examines the legal framework and protection of digital copyrighted works traded through NFTs under Indonesian copyright law. It employs a normative juridical method using statutory and conceptual approaches. The legal materials consist of primary, secondary, and tertiary legal sources collected through library research. The primary legal materials include international treaties, Copyright Law Number 28/2014, ITE Law Number 19/2016, and Constitutional Court Decision Number 84/PUU-XXI/2023. The findings show that Copyright Law implicitly protects digital copyrighted works traded through NFTs through provisions concerning moral rights, economic rights, reproduction, distribution, and technology-based copyrighted works. However, the absence of specific NFT regulations creates legal uncertainty. Furthermore, NFT marketplaces, as Electronic System Providers, have legal responsibilities regarding content traded on their platforms. Therefore, specific NFT regulations and strengthened marketplace policies are required to ensure effective legal protection for digital copyrighted works traded through NFTs.