‘Reminder Letter’
A “Letter of Reminder” from the “Working Group of Fujian Province to Clean Up and Rectify Various Trading Venues on Preventing NFT Violations” has been shared widely online. This letter was written by the “Working Group of Fujian Province to Clean Up and Rectify Various Trading Venues on Preventing NFT Violations.” The article provides four cautions regarding non-fiat currency transactions (NFTs) on trading platforms located in the province of Fujian, the most important of which are “no NFT transactions without authorisation” and “no covert engagement in NFT activities in disobedience of rules.”
On June 10, Fujian Provincial-Local Financial Supervision and Administration gave their stamp of approval to the document’s authenticity. According to the article, trading venues in Fujian are not permitted to engage in NFT-related activities. The concept of trading venues does not include many of the NFT platforms that are currently available. The individual who validated the documents claimed moreover that they adhere to local financial monitoring known as “7+4.”
It was said in the text that there have been new discoveries of NFT objects recently. The organization asserts that NFTs are easily related to illicit activities including as fraud, speculation, and money laundering, which produces cascading threats. As a result, the organization noted that from today, trading venues in Fujian are required to seek authorization for NFT trades.
According to the letter, it is possible for criminals to use the compliance credentials of trading venues in order to engage in illegal activities. This is because trading venues participate in the issuance and trading of NFTs on behalf of co-sponsors, strategic partners, technical support parties, and other parties. If the trading venue is not publicly known, it will either be placed on a blacklist or placed on temporary suspension until the issue is resolved.
Concerning the safety of investors, the group recommended that all trading venues give their customers the advice to construct appropriate trading conceptions, fight speculating, and take measures to prevent trading product prices from being inflated and deviating from the law of value. They have a responsibility to report illegal activity as soon as they discover it. In addition to this, the document advises any and all trading platforms located in the province of Fujian not to participate in the issue or trading of NFTs.
Fujian Provice
Fujian is a Chinese province on the country’s southeast coast. Fujian is bordered on the north by Zhejiang, on the west by Jiangxi, on the south by Guangdong, and on the east by the Taiwan Strait. Fuzhou, the province’s capital, and Quanzhou, the province’s most populous city, are both located along the Taiwan Strait shore in the province’s east.
Despite having a primarily Chinese population, it is one of China’s most culturally and linguistically varied provinces. Within the province, the Fuzhou dialect of northeastern Fujian and the Hokkien dialects of southeastern Fujian were the most widely spoken varieties of the Min Chinese linguistic group. The Hakka people of Fujian also speak Hakka Chinese. The Min dialects, Hakka dialects, and Mandarin Chinese dialects are all mutually incomprehensible. Due to emigration, Southern Min is spoken by a significant portion of the ethnic Chinese communities of Taiwan, Singapore, Malaysia, Indonesia, and the Philippines (or Hokkien).
Fujian is the 17th most populous province in China, with a population of 41.5 million people. It has a GDP of CN3.58 trillion, which places it 10th in the world. It has reaped the benefits of its close proximity to Taiwan. A minor area of Historical province is now under the Republic of China as a result of the Chinese Civil War (ROC, Taiwan). The Kinmen Islands, Matsu Islands, and Wuqiu Islands are three offshore archipelagos in the Fujian province of the Republic of China.
