China wants to regulate the metaverse and create its own digital universe, the Yuan universe

China is already calling for the Metaverse to be regulated

The rise of the metaverse has caught the attention of China. Chinese authorities first mentioned the Metaverse during the National People’s Congress, reports The Paper, a local outlet close to the Communist Party. This legislative body meets for two weeks each year.

Two sessions of Congress that year were devoted to the regulation of the metaverse. In this regard, Kong Falong, MP for the National People’s Congress, called on his colleagues to createa national Metaverse research institute.

Aware of the growing interest of Chinese companies in digital worlds, the MP called for “Set standards”, “Clear Boundaries” and to determine “The Red Lines and Prohibited Industrial Zones”. Specifically, the politician wishes create a regulatory framework for brands that want to capitalize on the trend.

Zhang Ying, a member of the Chinese People’s Political Consultative Conference (CCPC), expressed a similar opinion during a meeting, reports People’s Daily, a media outlet tasked with spreading propaganda from Beijing. The manager thinks it is urgent to regulate the development of the Metaverse.

β€œIt is recommended to regulate the development, strengthen the legal system, improve relevant laws, regulations and judicial interpretations of digital assets. […] Relevant ministries should strengthen industry oversight and take action against illegal and criminal activities.”believes Zhang Ying.

Many China-based companies have jumped into the metaverse in recent months. The Chinese National Intellectual Property Administration has also already received 16,000 trademark applications contains the term “metaverse”.

This applies in particular to ByteDanceparent company of the social network tick tockfrom Tencent and D’Ali Baba. For these companies, the metaverse and related technologies, namely virtual or augmented reality, are new means of attracting young internet users.

πŸ‘‰ Discover our 4 most promising metaverses for 2022

The creation of a “Yuan Universe” is mentioned in China

China will not only regulate the Metaverse on its territory. The Chinese legislature has already spoken out in favor of this the creation of a digital universe dedicated to the inhabitants of the country who “Yuan Universe”. This virtual world aims to combine social networks, streaming services and video game platforms.

Developing this China-only metaverse is Kong Falong’s particular wish rely on blockchain. The Chinese government has repeatedly expressed its growing interest in blockchain in recent years. Beijing has also developed a private and centralized blockchain for protection its social credit system.

At the same time, several Chinese cities have already expressed interest in creating a metaverse. This is particularly true of the Hongkou Initiated District in Shanghai a fund of $158 million dedicated to the development of digital universes.

There is no doubt that the digital yuan, the digital currency of the central bank of China, will be added to this project sooner or later. When this metaverse is fully under their control, the Chinese government will be able to do so enforce strict censorshipsimilar to the one already imposed on the Internet, explains Hanyu Liu, China market analyst at CNBC.

“We should expect strict censorship here, which means there will most likely be an isolated Chinese metaverse, separate from the international one.”emphasizes Hanyu Liu.

πŸ‘‰ On the same topic – Yuan digital wallet is among the most downloaded applications in China

Sources: The Paper, People’s Daily, CNBC

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About the author : Florian Bayard

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