WeChat Bans ‘A Large Number’ of Accounts Promoting NFTs

WeChat, a Chinese messenger app owned by Tencent and with 1.2 billion active users, has reportedly banned a large number of accounts that widely promoted non-fungible tokens (NFTs). In addition, according to Colin Wu, an Asia-based crypto journalist, WeChat required them to have a blockchain company filing provided by the Chinese government and disallowed secondary transactions.

Sina News, a Chinese state-run news agency, noted that the manoeuvre aimed to comply with national regulations to prevent the risk of speculation in cryptocurrency transactions.

In fact, WeChat noted that it banned secondary transactions of NFTs as there has been a hype in selling collections of tokens through the messenger app.

According to Sina, specific measures taken by WeChat include: it is required to provide a certificate of cooperation with a blockchain company that has been registered and approved by the Cyberspace Administration of China as a qualification certificate, and secondary transactions are not supported.

The Mini Program on WeChat public platform currently only supports the display of digital collections and first-level gifts. The transaction and multi-level circulation of digital collections are not open. If any aggressive behaviour such as bypassing is found, the account will be banned or removed, according to the degree of violation.

“In the follow-up, the platform will also pay close attention to industry trends and relevant regulations, and further improve and adjust the rules,” Sina noted, citing WeChat.

China Regulators and Social Media Influencers

Last year, Chinese watchdogs banned brokerages firms from hiring influencers and arranging live streaming campaigns to attract new customers. The China Securities Regulatory Commission notified companies that they would not be able to use these methods to acquire new customers.

The regulator argued that brokerages should maintain a level of professionalism and objectivity when offering their financial products, avoiding using ‘sensational wording’ or ‘quirky outfits’, something that is used by influencers in social media, according to the watchdog.