China launched its first regulated NFT platform
The year 2023 sure is starting with an interesting surprise coming from China, which today launched its first and one-of-a-kind centrally regulated NFT platform.
The announcement came on the 28th of December 2022, that China will launch its regulated NFT platform on the 1st of January 2022 from its capital, Beijing.
The platform is managed by three institutions; the state-owned, China Technology Exchange, Art Exhibition China, and the private company, Huban Digital ltd.
The blockchain has been titled the “China Cultural Protection Chain”, and will see trading of not just NFTs, but also of Copyright of Digital assets. The platform’s license is based on the Chinese Digital Exchange.
The news has received a mixed reaction from the crypto community and commentators, but before getting to that, here is a quick rundown of what this new NFT platform is and what it might mean for the industry and the people of China.
- What India and other nations can learn from Japan about regulating crypto in 2023?
- How to navigate an Unpredictable Market with Bitcoin and Volatility?
The People’s Republic of China has banned the trading of cryptocurrencies in all shapes and forms. But at the same time the nation, including its corporate players and authorities does see significant potential in the metaverse and NFTs, which they refer to as Digital collectibles. Not just that, China’s Hangzhou Internet court, had ruled in November of 2022, that NFTs are virtual property that is being protected by Chinese law.
There was always a diaspora amongst Chinese users when it came to ownership of NFT due to stringent rules and the lack of a centralized marketplace. There were announcements made in 2021 regarding China moving towards building a centralized NFT platform and now it is here.
There are also reports about Zhejiang, a province of China, announcing plans to develop a $28 billion worth metaverse industry.
Following the news, netizens were quick to point out that the idea of a metaverse is based on the concept of decentralization and giving the public authority. Criticisms and comments pointed at a possibility of China’s nature of control and lack of transparency to reflect on to the metaverse and NFT.
However so, the news has brought to the world of metaverse and NFTs; new potential, debates, and an interesting chain of events waiting to unfold.