Concerns About Counterfeits Could Impact Etsy’s Bottom Line

Etsy’s stock price recently took a hit after an analyst report suggested that “as many as two million items on the service — equal to 5 percent in total — may either be counterfeit or constitute trademark infringement,” reports Wired. The online marketplace for vintage and handmade goods is facing a significant setback to its reputation, as Etsy’s forums are filling with concerns regarding illegal products. According to the Wedbush report, “Counterfeit candidates include items infringing on Louis Vuitton, Chaneland Michael Kors, as well as a wide range of Disney and NFL brands. Sample of high risk listings indicates some violations may be 20x more likely on Etsy than eBay and even more likely than Alibaba’s Aliexpress.”

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