WeChat further curbs NFT trading, shutting down multiple NFT official accounts -...

WeChat further curbs NFT trading, shutting down multiple NFT official accounts

WeChat further curbs NFT trading, shutting down multiple NFT official accounts

Zijing Fu

posted on 8 hours ago

The platform only allows for NFT buying, not reselling or trading.

On March 29, WeChat, Tencent’s social platform app, has closed multiple official accounts of NFT trading platforms, including Art Meta, One Meta, iBox, Huasheng Meta and Linghaodiqiu, which has just gotten authorization from Beijing Dewey Education Technology Ltd. to launch the digital collectible series “Van Gogh Alive”.

Most of the accounts have been closed due to “user complaints and the platform’s inspection shows there is no legal permit or license to publish, disseminate or engage in related business activities”, while other accounts have been closed due to “suspected fraud”.

Meanwhile, according to Jiemian News report, WeChat has also requested some of the digital collectibles platform accounts to submit proof of qualification by April 1, otherwise, those accounts would also be closed.

Previously, the largest stock image provider in China, VCG’s Yuanshijue(meta vision) WeChat mini-program has also been suspended by WeChat, according to a Cailian News report. 

WeChat’s move echos its previous closing of NFT related mini-programs, as the platform is in fear of government regulatory risks.

In China, the NFT industry is navigating in muddy water. Despite global hype, Chinese regulators have remained relatively quiet on its stance on NFTs. Yet given China’s firm stance on banning cryptocurrencies such as bitcoin, the NFT concept in China has been branded less as a cryptocurrency phenomenon, and more as digital artworks.

Currently, Huanhe, the NFT platform by Tencent remains accessible in WeChat. Unlike the banned accounts, Huanhe’s NFTs are built on the company's own Zhixin chain, and only support buying with RMB, not reselling or trading. China’s state-run news agency Xinhua News has also issued a digital photo collection on December 24 last year, built on Tencent’s Zhixin chain.

Cover image by Andrey Metelev on Unsplash.