By Michael Scott
China plans to launch a state-backed marketplace targeting NFTs and crypto copyrights. The regulated platform is set for January 1 2023 to accommodate NFTs trading. The report confirming the national protocol on December 28 indicated that its creation is attributed to the Huban Digital Copyrights Ltd partnership with two state-owned entities – Art Exhibitions China and Chinese Technology Exchange.
Realizing NFTs and Copyrights Trade in China
The report added that besides facilitating NFTs trading, the state-backed platform would ease the exchange of digital assets’ copyrights. In support of the report published in the Sina News, a renowned metaverse and digital assets expert, Yu Jianing, admitted that the project seeks to tame the excessive speculation witnessed within the secondary NFTs markets.
Jianing noted that China is yet to refine the regulatory and supervisory policies that could apply to the digital assets mirroring the latest commerce identity. The digital expert pointed out that the NFTs and copyrights based on existing digital assets are hindered by uncertainty.
Jianing acknowledged that emerging platforms should actively assume responsibility for facilitating the listing and trading the digital assets. However, digital assets confront the aggravated risk of regulatory compliance, unlike digital copyrights and conventional intellectual property rights.
NFTs Earns Legal Recognition as Virtual Property
China’s plan to launch the marketplace coincides with the Hangzhou Internet Court ruling that categorized NFTs as virtual property. Jianing’s reference to the judgment by the specialized court on internet disputes portrayed the need for the NFTs marketplace to ensure compliance with the existing provisions.
Jianing added that the marketplace is set to align with the November 29 ruling that NFTs have characteristics that mirror properties. In particular, Jianing observed that NFTs have inherent value and are scarce. Besides, they are controllable by creators and tradeable by the holders.
Establishing the state-backed platform for NFTs is set to revolutionize China’s pursuit of opportunities in the digital assets ecosystem. Jianing suggests the marketplace for NFTs will help China realize its potential by leveraging the digital assets that elevate the country’s rich cultural and historical space.
Launching the NFTs marketplace suggests China will likely lift the 2021 ban imposed on crypto exchanges.