The Chinese NFT marketplace Yucang Digital Collectibles announced that it is repurchasing assets that were sold on its platform because of lack of clear policies.
The marketplace announced that it will continue to operate, however, sales and transfers of digital collectibles will be frozen and new user registrations will not be accepted.
The marketplace revealed that a lack of clear laws poses risks to local NFT businesses. It is worth mentioning that Chinese companies prefer using the phrase ‘Digital collectibles’ to avoid reference to NFTs at a time when local media continues to criticize NFT speculation.
Yucang’s official WeChat account disclosed that the marketplace was launched two and a half months ago, and has only auctioned off one batch of digital collectibles since then.
Yucang is developed on the Hundsun Chain, which in turn is built by Shanghai Stock Exchange-listed firm Hundsun and is approved by the local cyberspace regulatory body.
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