The national Chinese platform Blockchain Services Network (BSN) plans to deploy infrastructure to support and launch NFT without the use of cryptocurrencies as early as the end of January.
He Yifan, CEO of Red Date Technology, which provides technical support to BSN, said the BSN-Distributed Digital Certificate (BSN-DDC) infrastructure will operate without the use of cryptocurrencies, which are banned in China.
“NFTs will have no legal problems in China as long as they distance themselves from cryptocurrencies such as bitcoin,” Yifan said.
He added that this is an important step for the Chinese NFT industry, which will soon reach billions in volume. The BSN-DDC infrastructure will offer companies and individuals application programming interfaces (APIs) for non-fungible tokens.
Developers will be able to create their own custom portals or applications to manage NFT. The Chinese yuan will be used for purchases and payments for services. BSN-DDC will integrate ten blockchains, including an adapted version of Ethereum and Corda, as well as internal networks such as FISCO BCOS.
Yifan stressed that compared to other platforms, using BSN-DDC is cheaper – issuing an NFT can cost as little as 0.05 yuan ($ 0.7). Yifan added that the project will make a profit this year if 10 million NFT are created on its basis. “Based on our forecasts, actual production will exceed this figure,” he said.
The head of Red Date Technology noted that NFT is mainly used to digitize artworks. However, in his opinion, the most significant market for NFT is in the management of certificates such as license plates and high school diplomas, as it is a “revolutionary database technology” that provides access to data for different levels of users.
Despite the ban on cryptocurrencies, China is loyal to blockchain technology, NFTs and the metauniverses. Last year, China’s state-run news agency Xinhua announced that it would release a collection of 11 NFTs with a circulation of 10,000.
In December, Chinese TV called GameFi a gambling scheme and a pyramid scheme. At the same time, the negative attitude of the Chinese authorities towards blockchain-based games has not yet extended to the metaverse. The development of projects in this area is directly overseen by the China Mobile Communications Association (CMCA).