The United Kingdom has canceled its plan to create a non-fungible token (NFT). The latter was backed by the government and aimed to make the country a global crypto hub. The decision was made after delays in the release of the NFT collection. This task had been assigned to the Royal Mint, an executive agency responsible for minting British coinage.
State NFT: London throws in the towel
While Chancellor in April 2022, British Prime Minister Rishi Sunak instructed the Royal Mint to issue an NFT collection before the summer of 2022. The project has since never seen the light of day, despite a government investigation to better understand the industry.
However, UK Economics Secretary Andrew Griffith said the proposal would remain under review. The reasons for abandoning the project seem to be related to the economic uncertainty surrounding cryptocurrencies.
Harriet Baldwin, the chairwoman of the Treasury Select Committee, has announced that she will ask the government’s finance minister if he is still in favor of issuing non-fungible tokens (NFTs).
According to the BBC, Ms. Baldwin highlighted the unpredictability of the crypto sector. She suggested that the government should be careful before promoting this type of project. For Baldwin, there is no assurance that investing in NFTs is a safe option for ordinary people.
Is state adoption of non-fungible tokens possible?
Although the United Kingdom has abandoned its NFT project, other countries are making good progress on the issue. Several countries continue to turn to NFT and Web3 technologies.
In October, Japan announced plans to invest in the country’s digital transformation through NFTs. In January, China launched an NFT market. However, the country is renowned for its very punitive regulations when it comes to cryptocurrencies.
The question of the use of NFTs therefore remains an important issue for governments. The NFT market also remains popular with and investors around the world. They seek to understand how to take advantage of this growing sector.
Although the UK has chosen to backtrack for the time being, it is likely that other countries will continue to explore the potential benefits of NFTs to drive innovation and economic development.
In the meantime, it is cryptocurrencies that are gaining a lot of ground. After El Salvador adopted Bitcoin, many countries followed suit. This is the case of the Central African Republic which has recognized cryptocurrencies as means of payment. Other countries use it to circumvent international sanctions, among other things. For this, Russia chose USDT.
Receive a digest of news in the world of cryptocurrencies by subscribing to our new service of daily and weekly so you don’t miss any of the essential Tremplin.io!
