Chinese Internet Companies Crackdown on Cryptocurrencies and NFT related activities

It seems like tech giants in China are preparing for a complete government crackdown on cryptocurrencies, Web3, NFTs, and related technologies.

China’s Interesting Crypto History

China is not a country known for being “open-minded” to new ideas; China is one of the most important markets globally. The Chinese authorities understand this, so they ensure that you’ll need to play by the rules they set for you if you want to do business in China or gain access to its over 1.4 billion consumers.

To put it lightly, China has had a “fractured” relationship with blockchain-related technologies, especially cryptocurrencies. But over the last few months, we’ve witnessed gradual “improvements” as the country has allowed some activities in the NFT and Web3 space by state-owned or state-backed organizations.

If there’s one subset of companies in China that have had to tread lightly in their dealings with the Chinese authorities, it is the tech giants. China understands how much power technology companies have and how they hold a critical piece that can make or break social order within the country.

To effectively compete against Western counterparts, China empowered a handful of tech companies in the late 90s and early 2000s, and now these companies are big enough to compete globally. Lately, Chinese tech companies have been spooked as a handful of them have begun changing user policies concerning crypto technology, and some have moved to remove crypto-related accounts on their platforms.

China’s Social Media Giants

Over the weekend, a considerable amount of leading social media companies in China updated their policies to remove or restrict NFTs from the platforms. Most of these companies blamed a lack of clarity by the government, and the last thing they want is a crackdown by the powers that be in Beijing.

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