Non-fungible tokens (NFT) are about to get a lot of attention during China’s “Two Sessions,” the country’s most important political event every year. This is because parliament member Feng Qiyi is about to propose a legal framework for NFTs.
Local media said on Wednesday that Feng will propose a clear legal definition of digital collectibles, market access rules for NFT trading platforms, and better copyright protection for NFTs.
Feng told the government to crack down on illegal NFT speculation to stop the “financialization and securitization” of digital collectibles.
Feng says that most NFT regulations in China are set by corporate insiders and local authorities. What is needed is legislation and a top-down regulatory structure that includes several government departments.
During the Two Sessions, the Chinese government is expected to lay out the country’s economic priorities for the coming year and change important positions. Initiatives to build a digital economy are expected to take a leading role.
The idea came about because China is becoming more worried about and interested in NFTs. Even though Chinese leaders are trying to stop NFT trading, they see the growing asset class as something that could help the economy.
China’s government agencies, state-backed organizations, and media have all criticized the financial risks of NFTs. This has caused most Chinese NFT platforms to either leave secondary markets or grow outside of China.
China’s IT giant Tecent Holdings’ NFT marketplace, Huanhe, stopped selling NFTs and started giving refunds in August 2022. It will close in June 2023, Huanhe’s mobile app said on Thursday.
Content Source: forkast.news
