China's Wuhan City shelved its non-fungible token (NFT) support plan.
So it looks like the city government of Wuhan has decided to backtrack its initial idea of attracting NFT businesses and investments.
(Photo : Anthony Kwan/Getty Images)
HONG KONG, CHINA - FEBRUARY 15: Pedestrians walk past an advertisement displaying Non-fungible token (NFT) on February 15, 2022 in Hong Kong, China. Cryptocurrencies are gaining popularity worldwide as investors seek to diversify into the new asset class despite wild swings in the valuations of assets like Bitcoin and Ethereum in the first weeks of the year.
It comes as the Chinese government has completely banned both the mining and trading of cryptocurrency tokens.
China Wuhan City's NFT Support Plan
As per the recent report by FX Empire, Wuhan City early this year announced its plan to develop a metaverse to help in its slumping economic recovery.
The COVID-19 pandemic, which struck the whole world by surprise, heavily hit Wuhan, the capital city of Hubei Province.
It is worth mentioning that Wuhan also turns out to be the most populous city in the Chinese nation. On top of that, the market in the city also became the epicenter of the coronavirus outbreak in 2020.
All that said, the government of the Hubei Province capital has decided to include both the metaverse and blockchain as part of its recovery plan from the ill effects of the virus on its economy. And part of it includes NFTs.
However, this time, it looks like Wuhan city is going in a different direction.
Wuhan Removes Plan to Support NFT
According to a news story by the South China Morning Post, the Chinese city ditched its NFT support plan from its draft plan.
The news outlet disclosed that the new industrial plan of the Wuhan government no longer mentions anything about NFTs.
On the other hand, the initial plan, published in August, says that its government is looking to help businesses and investments for NFTs.
Instead, the new plan now only mentions its metaverse development plan. But the word NFT is no longer part of it.
So it appears that Wuhan would still include the metaverse in its attempt to recover from the wrath of COVID-19.
The South China Morning Post notes in its report that the Chinese city is still looking to attract roughly 200 metaverse firms. And besides that, the local government plans to build metaverse industrial estates come 2025.
China's Crypto Crackdown
Meanwhile, mainland China has been consistently cracking down on the emergence of cryptocurrencies. In fact, the government has already banned activities like mining and trading, the South China Morning Post reports.
Given this, the Hong Kong-based media outlet reports that state-run blockchain projects have excluded non-fungible tokens.
This article is owned by Tech Times
Written by Teejay Boris
