File-sharing service LimeWire, which shut down in 2011 under fire from the music industry, is making a comeback as a digital collectibles marketplace for art and entertainment, initially focusing on music.

Launched in 2000, LimeWire became the world’s biggest outlet for people to share music, movies and TV shows free over the internet, attracting 50-million monthly users at its peak popularity.

Blaming piracy as one of the main reasons for declining music sales, record companies sued LimeWire in 2006, forcing it to shut down five years later. But now it plans to jump on the latest internet bandwagon: NFTs...