China Guarantees Legal Protection for NFTs
In an unexpected move, the Chinese government has announced that it will be extending legal protection to nonfungible tokens (NFTs). The announcement follows a series of contradictory judicial opinions regarding cryptocurrency regulation in the country.
The government has issued a legal directive in dealing with cases of NFT theft, stating that they are considered virtual property, which are protected by civil law. These guidelines were published on November 9 by China’s state-controlled Southwest University of Political Science and Law (SUPL).
NFTs are unlike common online images as they embody the characteristics of online virtual property through their unique features such as non-tamperable nature, one-of-a-kind codes, and intricate transactional information. The value of these “digital collectibles” stems from their scarcity, providing both use and exchange value. Therefore, they are regarded as an object of rights separate from property rights, creditor’s rights, and intellectual property rights.
Theft of NFTs will now attract criminal penalties, evaluated in conjunction with related offenses such as hacking into computer systems or data theft. Even though China has yet to introduce the secondary market for NFTs, consumers can still use trading platforms to complete operations for purchase, collection, transfer, and destruction and achieve exclusive possession and disposal rights.
Bitget to Invest in Indian Startups
Cryptocurrency exchange Bitget has announced its plan to invest $10 million over the next five years in predominantly Indian-based startups. The exchange has expressed its interest in discovering promising projects within the crypto space and providing inclusive support to hasten innovation in emerging technologies. The previous recipients of Bitget’s investment include AI-based script generator Grease Pencil, AI resume generator HAIr, and AI dermatological app Derma360.
Linekong Launches $15M Bitcoin Fund
Chinese tech firm Linekong Interactive is set to launch a $15 million fund dedicated to rejuvenating the Bitcoin (BTC) ecosystem. The fund, christened as “BTC Next,” will boost original projects focusing on asset issuance, exchanges, virtual machines, NFTs, and GameFi protocols on the Bitcoin blockchain. The aim is to participate in the research and investment of Bitcoin network ecological assets and update the list of Bitcoin ecological crypto assets involved in investment.
SEBA Bank Received License in Hong Kong
Swiss fintech SEBA Bank has recently obtained a license from the Securities and Futures Commission (SFC) in Hong Kong. This license will allow the bank to carry out regulated activities in Hong Kong which include distribution of virtual asset-backed securities, advice on crypto assets, management of crypto accounts on behalf of clients, and advice and management of traditional securities such as stocks.
SEBA Bank has extended its gratitude to the SFC for creating a conducive environment during the licensing process. The bank had earlier raised $119 million in a Series C funding round early in 2022.
