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The French National Assembly’s recent decision on NFT gaming has stirred up the crypto world. Let’s dive into the details and implications of this groundbreaking move.
The Sorare Law: A New Dawn for NFT Gaming
The French National Assembly has recently given its nod to the so-called Sorare law, marking a significant milestone for video games that utilize NFTs and crypto-based rewards. This decision, part of the broader Digital Space Regulation Law (SREN), saw 437 of the 561 members in favor, with 77 opposing it.
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Dubbed the “Jonum regime”, this new rule focuses on games that offer digital rewards. Its primary aim? To boost innovation among French startups while ensuring gamer safety. For the first time, the law provides a clear definition of Jonum, potentially laying the groundwork for a unique set of rules for crypto games, distinguishing them from traditional gambling and regular video games.
However, there’s a catch. The Constitutional Council still needs to review the law, and they could potentially reject it. Some critics, as reported by Les Echos, argue that this law might unduly favor crypto games over online casinos. If this happens, some believe gambling platforms might pivot to the play-to-earn trend.
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Implications for Gamers and Influencers
Before this potential legal shift, French officials believed that crypto games almost entirely fit the criteria for gambling. Popular games like Sorare and Stables were on the brink of being labeled as gambling platforms, which would mean a heftier tax imposition.
But with the new perspective, the French National Gambling authority (ANJ) will oversee crypto gaming. Players will need to disclose their age during registration and verify their identity when cashing out their in-game earnings. However, the initial sign-up won’t require identity verification.
For influencers, there’s a crucial update. The Jonum rules prohibit the promotion of Web3 games on platforms that can’t filter out minors. But platforms like YouTube might still be safe for such promotions.
A Global Glimpse: How the World Views Crypto Gaming
As the crypto gaming wave sweeps across the globe, countries are grappling with how to regulate this new frontier. From the bustling tech streets of South Korea to the regulatory offices in the U.S., let’s take a whirlwind tour of how different nations are approaching crypto games:
- United States: Over in the States, cryptocurrencies are seen as property, and Uncle Sam wants his share! Any crypto transaction, gaming included, might get hit with capital gains tax. But when it comes to crypto gaming specifics, it’s a bit of a wild west, with each state setting its own rules about online gaming and gambling.
- China: The Middle Kingdom isn’t playing games when it comes to crypto. They’ve put a full stop on all crypto activities, and yes, that includes crypto gaming. So, if you’re thinking of diving into a crypto game in China, think again!
- South Korea: The land of K-pop and tech innovation has a love-hate relationship with crypto games. While they’re big on gaming, the government plays it safe with crypto games. Game developers need licenses, and young gamers? They’re kept away from any crypto action in games.
- United Kingdom: The Brits have an interesting take. The UK’s Gambling Commission believes that if you can trade or swap in-game items outside the game, they’re as good as real money. So, games allowing such trades might find themselves in the gambling arena.
- Japan: The Land of the Rising Sun is pretty open to cryptocurrencies, with a neat licensing system for crypto exchanges. But when it comes to mixing crypto with games, they’re still figuring things out, and we might see some rules popping up soon.
With this global snapshot, it’s evident that the world is still finding its footing in the crypto gaming realm. Each country’s approach offers insights into the challenges and opportunities this new form of entertainment presents.
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The French National Assembly’s decision could be a game-changer for the crypto gaming industry in France. While the final verdict from the Constitutional Council is eagerly awaited, the current sentiment is one of optimism and anticipation. As the lines between gaming, crypto, and gambling continue to blur, it’s clear that regulations like these will play a pivotal role in shaping the future of digital entertainment.