China doesn’t want its ban on cryptocurrencies to cause the country to lag behind others in the booming NFT space.
China doesn’t want to lag behind in NFTs
Before China’s crypto-asset ban hurts the local NFT industry, authorities in the country want to clearly distinguish cryptocurrencies from non-fungible tokens (NFTs), much the same way they did with the Chinese CBDC, the digital yuan (e-CNY).
The BSN Network, a Chinese government-backed blockchain project, is building infrastructure that would help businesses and individuals build platforms and applications to manage NFTs, the daily reported. South China Morning Post.
Officially called BSN-Distributed Digital Certificate (BSN-DDC), the project aims to support the launch of non-cryptocurrency NFTs by creating application programming interfaces to develop portals and user applications where the fiat currency of the country would be the only way of payment.
Emphasizing that NFTs have no legal issues in China as long as they are not tied to bitcoin (BTC) or other cryptocurrencies, Yifan He, CEO of BSN’s technology support provider Red Date Technology, said that the upcoming infrastructure would use an open and permissioned blockchain to ensure an online governing body.
” Public channels cannot operate legally in China he said, adding that a credible, low-cost infrastructure is desperately needed to host all NFTs in China. Without an ad hoc Chinese NFT infrastructure, non-fungible tokens can only be launched on private chains” unreliable added the executive.
The creation of an NFT platform entirely separate from cryptocurrencies is in sight
By allowing a centralized entity to govern the infrastructure and intervene in the event of illegal activity, Red Date plans to create an NFT platform entirely separate from cryptocurrencies.
He noted that Red Date was working with all project partners to make the BSN-DDC network as transparent as possible while remaining compliant with Chinese regulations and laws. All gas charges on the network will be paid in fiat currency.
” We will provide NFT business services in Hong Kong, which means any international company dealing with NFT issuance in China can choose to use the BSN-DDC network through our Hong Kong gateway. »
China Mobile, China UnionPay and China Information Center endorse BSN’s NFT infrastructure. The network will integrate 10 blockchains, including adapted versions of Ethereum and Corda, as well as WeBank’s Fisco Bcos, He revealed.
Last year, Red Date Technology signed an agreement with Turkish-Chinese consulting firm TUCEM to launch two international BSN portals in Turkey and Uzbekistan. The new portals will allow blockchain developers in Turkey and Uzbekistan to build blockchain applications using the leading BSN portal that hosts major blockchains like Ethereum (ETH), Algorand (ALGO), Polkadot (DOT), Tezos ( XTZ), ConsenSys Quorum, Corda and others.
Despite their crackdown on cryptocurrencies, Chinese authorities want to be ahead of not only the NFT industry, but also the launch of a CBDC. So the country plans to launch its digital yuan at on the eve of the Winter Olympics, which will be held in Beijing this year.
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