[Wadiz] Transparency Report Vol.04

CASE 01 Issue involving content harmful to minors

Characters & Merchandise / National Health Promotion Act · Youth Protection Act / Non-explicit

01 · Detection

AI Monitoring

Identifies expressions through monitoring that may be misconstrued as evoking actual smoking behavior or encouraging smoking

02 · Review

Operator Review · Content Refinement

Based on the AI monitoring results, we reviewed the Story and Reward Details and requested revisions to expressions that evoke smoking

03 · Action

Request for story revisions

Project suspended and removed from display in accordance with operating policies

CASE 01 Detailed Case

Case where a bubble solution product was marketed in a manner resembling cigarettes

This is a case where a bubble solution product was marketed in a manner resembling the actual shape of cigarettes and the act of smoking. The appearance and usage scenes reminiscent of cigarettes raise concerns that they may encourage smoking or be perceived as harmful content to minors, and may constitute expressions subject to restrictions under the standards of the “National Health Promotion Act” and the “Youth Protection Act.”

CASE 02 Unauthorized Display of Another Brand’s Logo · Consumer Misleading Issues

Food, Inner Beauty / Advertising Act · Trademark Act / Revised

01 · Detection

AI Monitoring

Monitoring identifies story content suspected of displaying other brands’ names or logos and unauthorized use of images

02 · Review

Operator Review · Data Verification

Review stories and images based on AI monitoring results to determine whether they could cause consumer confusion or raise intellectual property issues

03 · Action

Request to amend the Story

Based on operating policies, request revisions to images and expressions that may expose other brands’ names or logos or involve unauthorized use

CASE 02 Detailed Case

Case of Unauthorized Exposure of Another Brand’s Name

This case involves the direct display of another brand’s name and logo in a way that could lead consumers to mistakenly believe there is an official collaboration, partnership, or brand affiliation. The unauthorized use of another brand’s trademark or logo constitutes an expression that may cause consumer confusion and infringe on rights under the “Trademark Act” and the “Act on the Prevention of Unfair Competition and the Protection of Trade Secrets.”

1. Report of false labeling of the country of origin on Rewards

Details of the Report

A consumer complaint was received regarding false labeling of the country of origin, as the Reward Details indicated “Made in South Korea,” but the product actually received was labeled “Made in China.”

Verification Results

Upon verification, it was confirmed that the lenses were manufactured in Korea and the frames were manufactured in China; therefore, in accordance with product labeling standards, the country of origin should be listed as “China.” Accordingly, we updated the Reward Details notice and posted a News update to inform supporters of this matter.

2. Report Regarding Unauthorized Use of Artist IP

Report Details

We were unable to verify whether the artist’s agency had granted permission for the use of the artist’s IP in the project story or whether there was any information regarding trademark usage, and a report was filed regarding the posting of false information related to the official fan cafe.

Verification Results

We are currently verifying the facts regarding the contracts and rights related to the use of the artists’ images and names within the project. Once we confirm the details regarding usage authorization, the project is scheduled to proceed as normal.

Operational Improvements

Based on this incident, wadiz will continue to strengthen its reviews of project stories and Reward Details to prevent consumer confusion caused by mislabeled Reward Details or the unauthorized use of others’ IP, images, or content.

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wadiz Transparency Report Vol. 03