This week, collectibles and candy company Topps communicated with its customers about its non-fungible token (NFT) initiatives. The company acknowledged that it had encountered problems with a payment services provider in January 2023, which led to the switch to a new provider, Fortress, in September. Nevertheless, legal restrictions have made custodial wallets unavailable to collectors in New York and Texas.
Topps is partnering with Fortress and facing state regulatory hurdles on its NFT journey
Topps has acknowledged that the past year presented numerous obstacles for the Web3 community and stated that its own NFT program was “not excluded” from these difficulties. In January 2023, Bitcoin.com News reported on the story of Wyre changing its withdrawal procedure, a development that occurred just months before the payments company announced it was ceasing operations in June. As partners, Wyre’s complications had a direct impact on Topps, forcing the company to temporarily suspend its NFT store and market operations.
In a recent communication to its customers, Topps revealed that it has transitioned to a new service provider, Fortress, and successfully relaunched both its platform and marketplace. However, this switch has led to certain delays in progress, especially in two specific states. “Due to regulations and state laws, we cannot set up Fortress custodial wallets for collectors based in New York or Texas,” Topps explains. “Our vendors are working with the states to enable functionality at these locations.”
Topps also mentioned its partnership with the developer and the Avalanche (AVAX) blockchain network. The company emphasized: “We are also continuing our efforts to unlock alternative market solutions for collectors and will provide a timeline update as soon as it becomes available,” as it explained its ongoing efforts. To prioritize these goals, Topps has chosen to suspend further NFT drops. This decision comes in the wake of Gamestop winding down operations of its NFT marketplace.
What are your thoughts on the issues Topps faced with Wyre and its transition to Fortress? Share your thoughts and opinions on this topic in the comments below.
