Alibaba Cloud, a subsidiary of Alibaba Group, announced the launch of non-fungible token (NFT) solutions. The IT company will also build NFT marketplaces, including web hosting and content management. Meanwhile, the Chinese government has taken a very restrictive approach to digital assets.
Alibaba will help users create an NFT marketplace
NFTs have become very famous in the digital asset markets lately. Alibaba Cloud mentioned that these tokens can represent exclusive ownership of items for different digital assets as well as non-digital assets including concert tickets and invoices. As non-fungible tokens are irreplaceable. This helps the NFT artist to monetize their products.
The release mentions that Alibaba Cloud Elastic Compute Service (ECS) and auto-scaling will help the user to build an NFT marketplace. The IT company mentioned that these digital assets will soon be growing in the metaverse.
According to his blog, mainstream audiences are hesitant to fully embrace the possibilities the metaverse has to offer. However, stating that a survey conducted by Harris Poll showed that only 38% of Gen Z respondents think the Metaverse is the next big thing. He added that the virtual world will be part of our lives for the next decade.
China imposes strict rules on digital assets
The Chinese authority has issued major warnings about business risks in NFTs. Meanwhile, cryptocurrencies are banned in mainland China. However, the government has signaled that it has no intention of banning NFTs. This has led to giants like Alibaba and Tencent to file new NFT patents in the past.
Meanwhile, popular Chinese apps like WeChat Pay have recently suspended accounts that purchased these NFTs. According to reports, Xihu No.1 digital collection platform was one of the excluded projects. The lack of transparency and confusion on the part of the government kept people waiting.