{"id":11584,"date":"2023-01-17T12:30:12","date_gmt":"2023-01-17T12:30:12","guid":{"rendered":"https:\/\/focus.cbbc.org\/?p=11584"},"modified":"2025-04-23T09:34:23","modified_gmt":"2025-04-23T09:34:23","slug":"what-can-we-expect-from-chinas-first-state-backed-nft-marketplace","status":"publish","type":"post","link":"https:\/\/focus.cbbc.org\/what-can-we-expect-from-chinas-first-state-backed-nft-marketplace\/","title":{"rendered":"What can we expect from China\u2019s first state-backed NFT marketplace?"},"content":{"rendered":"

China may not be keen on crypto, but the launch of a new state-backed marketplace for digital assets suggests that it is more open to the idea of NFTs. Qing Na<\/strong> from Dao Insights<\/strong> looks at what the future holds for NFTs and cryptocurrency in China<\/h2>\n

As non-fungible tokens (NFTs) continue to expand their global foothold, even China could not resist embracing these digital assets, with the recent launch of the country\u2019s first state-backed marketplace for NFT trading. The surprising announcement on 27 December 2022 was followed by a ceremony on the first day of the new year, commemorating the opening of the secondary market.<\/p>\n

The platform has a hybrid state-owned\/private ownership structure, including China Technology Exchange (a platform that also oversees intellectual property exchange), Art Exhibitions China and Beijing-based Huaban Digital Copyrights. Existing on the blockchain known as China Cultural Protection Chain, the initiative was designed to facilitate the trading of copyrights related to digital assets.<\/p>\n

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\u201cBecause the platform and blockchain are run by the state rather than a private company, the nature of the new initiative is centralised, rather than decentralised,\u201d Dr Christina Yan Zhang, CEO of The Metaverse Institute told Dao Insights. \u201cAll NFTs powered by the chain will belong to the entity in control of the chain, not users, as is the case with Ethereum or a number of other blockchains.\u201d<\/p>\n

While echoing the centralised nature of this new initiative, Shirley Wong, CEO of Shix.io, a Web3 consulting service platform, also viewed this mechanism as being able to help \u201ccontrol the quality of the NFT products and make sure traders are verified\u201d.<\/p>\n

\u201cI think [the Chinese government] started to realise that NFTs are different to cryptocurrencies and that these digital assets can be used in multiple ways, benefiting businesses, especially smaller enterprises looking to engage consumers [by] fundraising and to help the government enter new markets as well,\u201d Wong continued. \u201cBut if they stick to a centralised approach, that will limit the growth of the NFT market.\u201d<\/p>\n