China plans to draw a clear line between cryptocurrency and non-fungible tokens (NFTs), just like it did with its digital currency efforts, before a crypto crackdown in the country hurts the local NFT industry.
As reported by the South China Morning Post, the Blockchain-based Service Network (BSN), a government-backed blockchain project in China, is working on infrastructure that will help businesses and individuals build platforms and apps to manage NFTs. Will do
Officially called BSN-Distributed Digital Certificates (BSN-DDC), the project aims to support the deployment of non-crypto NFTs, offering user portals and application programming interfaces for app development, where Fiat money will be the only payment method.
Underlining that NFTs do not pose any legal problems in China as long as they are not used with bitcoin (BTC) or other cryptocurrencies, Yifan, CEO of BSN technical support provider Red Debt Technology, said that the upcoming infrastructure Will use an open, permissioned blockchain to enable it. An on-chain governing body.
“Public chains cannot legally operate within China,” he told Cointelegraph, adding that a reliable, low-cost infrastructure is desperately needed to host all NFTs in China. Without a dedicated nationwide NFT infrastructure, NFTs can only be deployed on “untrusted” private chains in the country, Exec added.
By enabling a centralized entity to control the infrastructure and intervene in the event of illegal activity, Red Debt plans to create a compliant NFT platform that is completely different from the regular profile of crypto.
He added that Red Date is working with all DDC project partners to make the network as transparent as possible, while complying with Chinese regulations and laws. All gas charges on the BSN-DDC network are paid with fiat money.
“We will be providing services to NFT companies in Hong Kong, which means that if there is an international business issuing NFTs inside China, they can of course choose to use the BSN-DDC network through our Hong Kong gateway. “
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State-owned China Mobile, China UnionPay and State Information Center support BSNL’s NFT infrastructure. He added that BSN-DDC will integrate 10 blockchains, including customized versions of Ethereum and Corda, as well as Webbank’s Fisco Becos.
Last year, Red Debt Technology signed an agreement with Turkish Chinese Business Matching Center, a Turkish consultancy firm, to launch two international BSN portals in Turkey and Uzbekistan.
As Cointelegraph reported, the new portals will enable blockchain developers in Turkey and Uzbekistan to build blockchain-as-a-service applications using the global BSN portal, which supports the Ethereum Network, Algorand, Polkadot, Tezos, ConsenSys Quorum, Corda and others. Like hosting major blockchains. ,
