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China’s NFT industry agrees to ban cryptocurrency and fight speculation

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China’s non-fungible token (NFT) industry has published a “self-discipline initiative” that promises identity checks for users, adherence to the country’s ban on cryptocurrencies and a promise not to establish secondary marketplaces to fight speculation. Platforms that sell digital collectibles, the term used in mainland China for NFTs that cannot be traded using cryptocurrency, “shall require real-name authentication of those who...

Key players in China's NFT industry have published an agreement that calls on signatories to “firmly resist speculation” in the market.China’s non-fungible token industry has published a “self-discipline initiative” that promises identity checks for users, adherence to the country’s ban on cryptocurrencies and a promise not to establish secondary marketplaces to fight speculation.

The agreement calls on signatories to “firmly resist speculation” in the market. “Do not contain financial assets or unlicensed financial products, including securities, insurance, credit and precious metals, in blockchain-supported goods,” it reads. The initiative was formed by the industrial association and multiple market operators, “which do not represent the government’s stance”, he added.The document “is an industry-level initiative in response to an earlier one published by major financial industry associations to curb risks associated with digital assets”, said He Yifan, CEO of blockchain developer Red Date Technology, which provides technical support to China’s Blockchain Service Network.

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