After Cryptocurrencies, China Cracks The Whip On NFTs

China has increased its focus on digital currencies and assets. China has banned all cryptocurrency in its country. Now, the Chinese authorities are focusing on Non-Fungible Tokens (NFTs).

According to Chinese Journalist Colin Wu and China, cryptocurrencies are being rebuffed by the Chinese authorities. They will now focus their attention on the regulatory framework surrounding NFTs with strengthening supervision.

Limiting Non Fungible Tokens

China’s latest crackdown on NFTs saw Chinese authorities limit NFTs to digital collectibles and disallow them from being traded for profit. This effectively made it illegal to use NFTs in a decentralized company. Colin Wu, a Chinese journalist, provided insight into what Chinese regulators are planning to do regarding NFTs by tweeting:

“Chinese regulator authorities have interviewed top Internet companies and are strengthening their supervision of NFTs.” Instead of being digital collectibles, NFTs are now prohibited.

NFT Companies Push Back

Chinese regulators and authorities have interviewed prominent internet companies. This was done to make sure that NFTs are not used for any other purpose than digital collectibles.

The NFT industry in China is retaliating, and companies are continuing to launch NFT trading portals. Many global commercial players, including McDonald’s, are also entering NFT markets. This is almost in defiance of Chinese authorities.

“However Chinese Internet companies are active in the NFT field. Tencent and Alibaba both have NFT trading platforms… McDonald’s China, DHL China just issued their first NFTs.

McDonald’s NFT

McDonald’s China, the Chinese subsidiary of American multinational fast food giant McDonald’s, announced that it will release its first ever NFT. The NFT, also known as the “Big Mac Cube”, is based upon one of McDonald’s most-loved sandwiches in China.

McDonald’s China celebrates the 31st anniversary of its entry into China. The NFT is one of 188 collectible artworks that McDonald’s China has released to franchise customers and employees. It is also part of a limited-edition gift series.

McDonald’s is a trendy, young brand that pays attention to fashion trends as well as cutting-edge technology.

McDonald’s China will also be officially inaugurating its new Shanghai headquarters. The design of the new building was inspired by the NFT artwork.

“McDonald’s China’s headquarters building is a new development for McDonald’s China. Milestones This is a special moment when we use NFT to share McDonald’s digitalization, innovation and trend art with our employees and customers.”

Pressure On McDonald’s

Chinese authorities are also targeting McDonald’s China NFT venture. They expect the company will promote the Chinese Central Bank Digital Currency. China’s government plans to eliminate all cryptocurrencies from its territory, and replace them by the central digital currency.

Disclaimer: This article is intended for informational purposes only. This article is not intended to be used for legal, tax, investment or financial advice.

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https://www.cryptodaily.co.uk/2021/10/After-Cryptocurrencies-China-Cracks-The-Whip-On-NFTs