A federal judge ruled Wednesday that a proposed class action lawsuit alleging Vancouver-based Dapper Labs and its CEO Roham Gharegozlu violated federal securities law with their marketplace of blockchain-based collectible basketball video highlights can proceed. (The Logic)

Talking point: The crypto community is watching this case closely, as a court ruling that some or all NFTs are securities would have significant impacts on companies and investors that have built businesses around them. On Twitter, Dapper highlighted that the ruling is limited to the company’s motion to dismiss the case: “The judge did not conclude the plaintiffs were right, and it’s not a final ruling on the case’s merits.” Still, NFT promoters would do well to take note of the judge’s findings—including that the use of rocket ship, stock chart and money bag emojis in marketing tweets “mean one thing: a financial return on investment.”