NFTs (non-interchangeable tokens) have become an important part of the digital economy, and the Chinese are actively using these tokens to make money. Despite bans on cryptocurrencies and strict regulation of crypto markets in China, interest in the NFT has not faded, and many Chinese users continue to actively invest, create and sell unique digital assets. In this article, we look at how Chinese people make money from NFTs, what platforms and methods they use, and the risks and opportunities faced by participants in this market.
1. What are NFTs and why are they popular in China?
NFTs are digital assets that are unique objects such as artwork, music, video clips, virtual goods, or collectible items that are recorded on the blockchain. Each NFT is unique and cannot be replaced with another 1:1 token, unlike conventional cryptocurrencies such as bitcoin.
- How it works: Each token recorded on the blockchain confirms the ownership and authenticity of the object. This makes the NFT attractive to collectors and investors, as they can prove their ownership of unique digital goods.
In China, where art, culture and technology are closely intertwined, interest in NFT has increased significantly, especially among younger generations passionate about digital technology and innovation. Despite the limited freedom in trading cryptocurrencies, NFTs remain relevant and in demand, especially in the field of digital art and collecting.
2. Ways to make money on NFTs in China
2.1 Creation and Sale of NFT
One of the main ways to make money on the NFT is to create digital artworks and then sell them on NFT trading platforms. Chinese artists and designers actively create unique works, which are then turned into NFTs and sold to collectors.
- How it works: Creators, whether artists, musicians, writers or designers, can create a unique digital object and register it as an NFT on one of the platforms, such as OpenSea, Rarible, SuperRare or Chinese counterparts. After that, the work can be sold for cryptocurrency, as well as receive interest from subsequent sales.
- Earnings: Creators can earn not only on the initial sale of their works, but also on royalties - a percentage of each resale of their NFTs on the platform.
2.2 Investing in NFT
Investing in NFTs is the purchase of digital assets in order to resell them in the future at a higher price. This method is suitable for those who want to profit from rising prices for collectible tokens or digital art.
- How it works: Investors can buy NFTs in the early stages when the price is still low and then resell them at a higher price when the popularity of an item or artwork increases. Examples of successful investments include popular digital paintings, music compositions, and virtual merchandise.
- Earnings: With a successful resale of the NFT, investors can make significant returns, especially if the asset has proven to be in demand or popular in the cryptocurrency community.
2.3 Collecting and Selling Rare NFTs
NFT collecting has become a popular destination, with many Chinese users actively investing in rare and unique digital assets. Some NFTs may be part of limited collections or iconic artworks.
- How it works: Collectors buy rare or limited NFTs for the purpose of storing them and then selling them. This can include not only works of art, but also virtual objects such as objects in games, video clips or photographs of famous personalities.
- Earnings: If a collector acquires rare or sought-after NFTs, their value could rise over time, allowing them to profit on resale.
2.4 Creation and Sale of Virtual Goods in Metaverse
Many Chinese users also make money from the NFT by creating virtual goods for metaverse. In spaces such as Decentraland or The Sandbox, users can create and sell unique virtual goods such as clothing, accessories, virtual real estate and other objects.
- How it works: In metaverse, users can create unique virtual items that become NFTs and then sell them to other members. For example, users can create unique costumes, artifacts or land in the virtual world and sell them for cryptocurrency.
- Earnings: Selling these virtual goods can be profitable, and with the growing popularity of metaverse, their value will only increase.
3. NFT trading platforms in China
Chinese users, despite the restrictions, can still actively participate in the NFT trade. To do this, they use various platforms that either allow you to bypass locks, or offer alternative trading methods.
3.1 International Platforms
- OpenSea and Rarible are the largest international NFT trading platforms where Chinese users can sell and buy tokens. To access these platforms, many Chinese use VPNs to bypass blockages and gain access to international markets.
- SuperRare is another platform specializing in unique artwork, where NFT can also be bought or sold.
3.2 Chinese Platforms
Despite the restrictions, China also has its own NFT trading platforms, such as TaoArt, Baidu Xunlei and others, which are actively developing. These platforms offer the ability to buy and sell NFTs with a focus on the Chinese market and local preferences.
- How it works: Platforms like TaoArt give users the ability to buy and sell digital artwork in the form of NFTs. They can be used to trade unique Chinese art objects, collectible items and other tokens.
4. Risks and Limitations
4.1 Legal risks
Despite the growing interest in the NFT, it is important to remember that China has strict regulation of cryptocurrencies and related assets. Chinese authorities may introduce new measures to restrict the use of NFTs, which could affect the market.
- How it works: Regulation and control of NFT platforms could tighten, leading to additional legal risks for Chinese users.
4.2 Market Volatility
The NFT market is subject to high volatility and token prices can fluctuate significantly. This makes it risky for investors, especially those who are not ready for rapid value changes.
- How it works: NFT prices could fall sharply if interest in specific assets declines or the market faces a revaluation of value.
5. Conclusion
NFT earnings in China are possible despite government restrictions. Chinese users can make money by creating and selling unique digital works, investing in NFTs and virtual goods, and through NFT trading platforms. However, it is important to be mindful of the risks associated with legal constraints and market volatility. Careful study and compliance with precautions will help minimize risks and ensure successful participation in this rapidly growing market.
1. What are NFTs and why are they popular in China?
NFTs are digital assets that are unique objects such as artwork, music, video clips, virtual goods, or collectible items that are recorded on the blockchain. Each NFT is unique and cannot be replaced with another 1:1 token, unlike conventional cryptocurrencies such as bitcoin.
- How it works: Each token recorded on the blockchain confirms the ownership and authenticity of the object. This makes the NFT attractive to collectors and investors, as they can prove their ownership of unique digital goods.
In China, where art, culture and technology are closely intertwined, interest in NFT has increased significantly, especially among younger generations passionate about digital technology and innovation. Despite the limited freedom in trading cryptocurrencies, NFTs remain relevant and in demand, especially in the field of digital art and collecting.
2. Ways to make money on NFTs in China
2.1 Creation and Sale of NFT
One of the main ways to make money on the NFT is to create digital artworks and then sell them on NFT trading platforms. Chinese artists and designers actively create unique works, which are then turned into NFTs and sold to collectors.
- How it works: Creators, whether artists, musicians, writers or designers, can create a unique digital object and register it as an NFT on one of the platforms, such as OpenSea, Rarible, SuperRare or Chinese counterparts. After that, the work can be sold for cryptocurrency, as well as receive interest from subsequent sales.
- Earnings: Creators can earn not only on the initial sale of their works, but also on royalties - a percentage of each resale of their NFTs on the platform.
2.2 Investing in NFT
Investing in NFTs is the purchase of digital assets in order to resell them in the future at a higher price. This method is suitable for those who want to profit from rising prices for collectible tokens or digital art.
- How it works: Investors can buy NFTs in the early stages when the price is still low and then resell them at a higher price when the popularity of an item or artwork increases. Examples of successful investments include popular digital paintings, music compositions, and virtual merchandise.
- Earnings: With a successful resale of the NFT, investors can make significant returns, especially if the asset has proven to be in demand or popular in the cryptocurrency community.
2.3 Collecting and Selling Rare NFTs
NFT collecting has become a popular destination, with many Chinese users actively investing in rare and unique digital assets. Some NFTs may be part of limited collections or iconic artworks.
- How it works: Collectors buy rare or limited NFTs for the purpose of storing them and then selling them. This can include not only works of art, but also virtual objects such as objects in games, video clips or photographs of famous personalities.
- Earnings: If a collector acquires rare or sought-after NFTs, their value could rise over time, allowing them to profit on resale.
2.4 Creation and Sale of Virtual Goods in Metaverse
Many Chinese users also make money from the NFT by creating virtual goods for metaverse. In spaces such as Decentraland or The Sandbox, users can create and sell unique virtual goods such as clothing, accessories, virtual real estate and other objects.
- How it works: In metaverse, users can create unique virtual items that become NFTs and then sell them to other members. For example, users can create unique costumes, artifacts or land in the virtual world and sell them for cryptocurrency.
- Earnings: Selling these virtual goods can be profitable, and with the growing popularity of metaverse, their value will only increase.
3. NFT trading platforms in China
Chinese users, despite the restrictions, can still actively participate in the NFT trade. To do this, they use various platforms that either allow you to bypass locks, or offer alternative trading methods.
3.1 International Platforms
- OpenSea and Rarible are the largest international NFT trading platforms where Chinese users can sell and buy tokens. To access these platforms, many Chinese use VPNs to bypass blockages and gain access to international markets.
- SuperRare is another platform specializing in unique artwork, where NFT can also be bought or sold.
3.2 Chinese Platforms
Despite the restrictions, China also has its own NFT trading platforms, such as TaoArt, Baidu Xunlei and others, which are actively developing. These platforms offer the ability to buy and sell NFTs with a focus on the Chinese market and local preferences.
- How it works: Platforms like TaoArt give users the ability to buy and sell digital artwork in the form of NFTs. They can be used to trade unique Chinese art objects, collectible items and other tokens.
4. Risks and Limitations
4.1 Legal risks
Despite the growing interest in the NFT, it is important to remember that China has strict regulation of cryptocurrencies and related assets. Chinese authorities may introduce new measures to restrict the use of NFTs, which could affect the market.
- How it works: Regulation and control of NFT platforms could tighten, leading to additional legal risks for Chinese users.
4.2 Market Volatility
The NFT market is subject to high volatility and token prices can fluctuate significantly. This makes it risky for investors, especially those who are not ready for rapid value changes.
- How it works: NFT prices could fall sharply if interest in specific assets declines or the market faces a revaluation of value.
5. Conclusion
NFT earnings in China are possible despite government restrictions. Chinese users can make money by creating and selling unique digital works, investing in NFTs and virtual goods, and through NFT trading platforms. However, it is important to be mindful of the risks associated with legal constraints and market volatility. Careful study and compliance with precautions will help minimize risks and ensure successful participation in this rapidly growing market.