The Chinese government-backed BSN blockchain will introduce infrastructure for the creation of non-fungible tokens (NFTs) in late January. This is reported by the South China Morning Post, RBC writes. According to the publication, the Chinese authorities plan to create their own NFT market, not related to cryptocurrencies.
“NFTs have no legal problems in China, but they should distance themselves from cryptocurrencies such as Bitcoin,” explained He Yifan, CEO of Red Date Technology. Red Date Technology provides BSN technical support.
On the basis of BSN, a platform will be created that will allow Chinese developers to create their own marketplaces and other applications for working with NFT tokens. The Chinese yuan will be the sole currency for payments on the platform.
Yifan explained that public distributed ledgers are illegal in China because local law requires all internet systems to verify the identity of users. Because of this, Red Date Technology creates an open system that is managed by BSN developers.
We will remind
At the end of September last year, the People’s Bank of China banned cryptocurrency transactions. The use of the country’s digital assets equates to an illegal financial component. The services provided by crypto exchanges to Chinese residents also turned out to be illegal.
Strict cryptocurrency measures began to be implemented in China as early as the end of May 2021, following the call by the Vice Premier of the State Council of the People’s Republic of China, Liu He, to strengthen the regulation of digital assets. Local provincial governments have banned cryptocurrency mining, and crypto businesses have left the country.
What are NFT Tokens?
NFT tokens are a kind of development of the idea of cryptocurrencies, the BBC writes. Like traditional digital money — Bitcoin or Ethereum — it works on blockchain technology.
The key difference is only one thing: if one Bitcoin “coin” is, for example, indistinguishable from another Bitcoin “coin”, then each NFT can be unique (or have a limited number of copies). Hence the name NFT – non fundgible-token.
If you have a unique NFT token, you can be sure that no one else has it.
