China to launch its national NFT marketplace in the new year
- China is launching its first national non-fungible token (NFT) marketplace this New Year.
- The platform will enable the trading of copyrights for digital assets and other collectibles.
China is launching its first national non-fungible token (NFT) marketplace this New Year, reported a local news publication.
The China Digital Asset Trading Platform, which serves as a secondary market for the exchange of NFTs, has been created by the state-owned Chinese Technology Exchange, the state-owned Art Exhibitions China, and the private corporate entity Huban Digital Copyrights Ltd.
Aside from NFTs, the platform will enable the trading of copyrights for digital assets and other collectibles. The project’s goal is to regulate secondary NFT markets and prevent excessive speculation.
For much of the last two years, NFTs have been popular among Chinese traders but not in the same way that they are in the rest of the world. According to Chinese law, NFTs cannot be purchased with cryptocurrency.
Furthermore, they are referred to as digital transistors rather than NFTs. In addition, digital artwork is traded on closed, highly regulated platforms rather than decentralized platforms.
NFTs have property rights
The Hangzhou Internet Court, which specializes in internet-related legal disputes in China, ruled last month that digital assets have property rights comparable to items sold on e-commerce sites, which was viewed as a major step forward in their protection.
NFTs have characteristics of property rights such as value, scarcity, controllability, and tradability and belong to network virtual property that should be protected by our country’s laws.
Digital assets represent a new form of commerce in terms of industry supervision and regulation; much remains to be refined in terms of laws, regulations, and supervisory policies.
As a result, there is a great deal of uncertainty. Platforms are clearly responsible for listing and trading digital assets. Digital assets are more vulnerable to regulatory soundness than intellectual property rights and digital copyrights.