Tencent News has shut down its NFT trading feature shortly after the Chinese government outlawed private transactions afte purchase, Blue Whale Finance reported.
An announcement on the Tencent News app said that the firm would cease digital collectible sales beginning this month. The “digital collections” feature has been replaced with a “digital orders” section, which shows users’ previous purchases.
In addition, former Tencent News head Wang Shimu has moved to Tencent Platform & Content Group (PCG), which manages other platforms such as Magic Core, an NFT trading firm.
Magic Core is also reportedly in trouble and faces lagging sales, with many of its limited releases remaining unsold.
Earlier this month, Tencent signed a vow stating that it would stop the secondary trading of digital collectibles. Other Chinesetech giants such as JD.com, Baidu, and Ant Group also made the pledge.
The development follows China’s ban on the sale of cryptocurrency, but NFT trading in the country remains legal. Due to this stigma, companies in the country have relabeled the assets as “digital collectibles.”
See also: Tencent’s gameplay in a sea of troubles
Editing by Miguel Cordon and Eileen C. Ang
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