China About To Own An NFT System By January Ending

A blockchain network backed by Chinese authorities is set to launch an NFT infrastructure.

The Plan For The Launch

A developer with the blockchain-based service network (BSN) told the media the plan is to launch the NFT infrastructure before next month. The developer (He Yifan by name) further revealed that this launch aims to enable broader adoption of blockchain technology all over the south Asian nation.

Yifan also stated that the NFT platform would only support e-Yuan currency for transactions. “We are convinced that this platform would be the best place for Chinese NFT enthusiasts to perform their NFT transactions. It is public, state-backed, and transaction charges are almost zero,” the developer concluded.

There will be ten open-permission blockchains on this NFT platform known as the BSN-distributed digital certificate (BSN-DDC). Thus, enabling creators to have different options in building their desired NFT apps. The project developers claim that it will break even once 10m NFTs have been generated on the platform.

However, crypto and NFT experts opined that it would take enormous efforts from BSN to bring to life China’s goal for this NFT infrastructure. Hence, it is no surprise that BSN has sought the collaboration of 25 partners in pulling off this massive project. For this project, a cloud invoice firm (Balwang inc) and a blockchain network (Cosmos) top the list of partners enlisted by BSN. 

While China is yet to ban NFTs as it did on cryptocurrencies, it has been releasing various warning notices to the populace on its speculative nature. Chinese have switched to NFTs to keep utilizing blockchain technology after the government banned crypto-related activities.

Beijing Residents Made 9.7B Yuan Worth Of E-Yuan Transactions Last Year – New Data

New data released by the State Media has revealed that Beijing residents made 9.7B Yuan ($1.55B) worth of e-Yuan transactions in the last 12 months. However, the data also remarked that the volume of transactions might have been driven by various coupon promotions the authorities offered during that period.

China continues to launch various trial phases for its digital Yuan to ensure its broader adoption across the nation. Between January and December 2021, the authorities airdropped a total of $54m worth of e-Yuan in nearly 13 cities (in various batches), particularly the ones hosting the forthcoming Olympic games.

Avoiding Sanctions

Last December, five national banks airdropped various amounts of the e-Yuan to Beijing residents. China’s e-Yuan is the most advanced national digital currency among other top economies as it has been in development for nearly ten years.

While there has been a rising interest in NFTs across China, many China-based NFT platforms have resorted to different measures to avoid government sanctions. One of such measures is using the term digital collectibles instead of NFTs. Also, NFT buyers are not allowed to resell their NFTs as authorities may view it as a means of money laundering. Famous FinTech firms such as Tencent and Alibaba also own NFT marketplaces.