BSN-Distributed Digital Certificate (BSN-DDC)

2022: China creates NFT industry on state blockchain platform

China On January 13, 2022, it became known that the state blockchain Blockchain Services Network (BSN) is creating an infrastructure to support the use of non-replaceable tokens (), NFT which is an important step towards creating a local NFT industry that is not associated with. cryptocurrencies

Although Beijing has banned cryptocurrencies, He Yifan, executive director of Red Date Technology, which provides technical support to BSN, said that NFTs "have no legal problems in China" while they distance themselves from cryptocurrencies such as bitcoin.

In the future, the annual volume of NFT in China will be in the billions, "he added.

China creates NFT industry on state blockchain platform

The infrastructure, called BSN-Distributed Digital Certificate (BSN-DDC), to distinguish it from NFT with cryptocurrencies, will offer application programming interfaces for companies or individuals so that they can create their own user portals or applications for managing NFT. Payment for purchases and services is allowed only in Chinese yuan.

NFTs are launched and traded on public blockchains, which are decentralized platforms that provide access to anyone who wants to record and read data. However, public networks are "illegal in China," since the state requires all Internet systems to verify the identity of users and allow the regulatory authority to intervene in the event of "illegal activities," he said.

Thus, Red Date turned to a solution called an open authorized chain, an adapted version that can be managed by an assigned group. BSN, the core platform of the NFT project, supported by state-owned China Mobile, China UnionPay and the State Information Center, has already "localized" more than 20 public networks since its debut in 2018.

He said that BSN-DDC will combine 10 networks, including the adapted version Ethereum and, Corda as well as domestic ones, such as Fisco Bcos, initiated by the supported Tencent fintech firm. WeBank

Although NFTs are not illegal in China, several large technology companies have decided to call their NFT projects "digital collectibles" for compliance reasons.

He Yifan said that compared to other platforms, BSN-DDC is compatible between networks and cheaper: the release of NFT can cost only 0.05 yuan (sound0.7). He said that the project will make a profit as early as 2022 if 10 million NFTs are generated, "and the actual production volume will surpass it based on our forecasts."

NFT is mainly used for digital artwork, but Yifan said the largest market is the management of certificates, such as car license plates and school diplomas, as it is a "revolutionary database technology" that can differentiate different parties' access to data.^[1]

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