Wuhan omits NFTs from metaverse plan | The Financial Express

Wuhan omits NFTs from metaverse plan

After several years of numerous restrictions, China finally imposed a blanket ban on cryptocurrency use in the country in 2021.

Wuhan omits NFTs from metaverse plan
Wuhan first announced its plans to support the metaverse and NFTs in the aftermath of the coronavirus outbreak as a way to boost its economy

The Chinese city of Wuhan reportedly shelved its nonfungible tokens (NFTs) plans due to growing regulatory uncertainty in the country surrounding crypto and Web3 technologies, Cointelegraph noted.

Cointelegraph further stated that Wuhan first announced its plans to support the metaverse and NFTs in the aftermath of the coronavirus outbreak as a way to boost its economy, which had been devastated by the pandemic. The city was the focal point of the COVID-19 breakout.

A line about NFTs was included in the Wuhan government’s draught industrial plan for the city’s metaverse economy development. According to the South China Morning Post, that section has now been removed from the latest version. According to the report, the revised version continues to encourage businesses to focus on decentralised technology and Web3.0, but makes no mention of NFTs.

However, as the number of fraudulent activities increased, so did the number of government warnings to investors against NFT trading.

After several years of numerous restrictions, China finally imposed a blanket ban on cryptocurrency use in the country in 2021. However, the government’s position on emerging Web3 technologies, particularly those involving the exchange of tokens or digital collectibles (NFTs), appears to be hazy at the moment.

(With insights from Cointelegraph)

Also Read: OpenSea launches new “on-chain” tool to enforce NFT royalties

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First published on: 07-11-2022 at 16:08 IST