The future of non-fungible token is getting more clear in China as the country's tech giants come together to formulate standards.
The China Cultural Industry Association, along with other companies, issued a proposal for self-disciplined development of the digital collectible industry.
Standards and best practices can be developed with the help of industry associations. According to information on its website, the China Cultural Industry Association was founded with the approval of the State Council.
Regulators from the top have been watched by China's NFT enthusiasts. It was thought that NFTs in their purest form would not be allowed in the country after China banned cryptocurrencies.
It appears to be the case. China's financial associations proposed in April that NFTs should not be used for transactions in Cryptocurrencies.
With the country's largest platform operators taking a stance, the NFT industry may be closer to regulation. Digital collectible platforms should hold relevant regulatory permits, ensure the security of underlying technologies, enforce user real-identity checks, step up intellectual property protection, and ban financial speculations.
Before the NFT regulations are set in, tech firms in China are testing the water. Private, consortium chains have been used by Behemoths to launch their digital marketplaces. Users can only use the Chinese currency, the renminbi, and secondary trading is not allowed.
The company decided to look at the full scope of NFTs. Bilibili, China's top user-generated video streaming site, commissioned a Singapore-based company to create an NFT collection based on the site's brand assets.
China’s tech giants are having FOMO on NFTs
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