Plans to introduce government-backed NFTs in the UK have been put on hold indefinitely. Just last year, the UK government toyed with the idea of issuing its own non-fungible tokens as part of its crypto plan, but for now, it appears this will have to wait.
When the announcement was made, the Royal Mint, the institution responsible for printing the nation’s money, was tasked with the job by the UK Treasury. Initially, the digital tokens were set to be released by the summer of 2022. However, several delays led to speculation as to whether the tokens would ever materialize.
As it turns out, this happens to be the case. However, while it may come as a surprise to some, those who closely follow blockchain developments are aware that this is not the first time the UK government has expressed its intention to explore this space. In fact, as far back as 2017, the Royal Mint was already considering the use of blockchain tech to track its gold supply.
What sets the UK government apart from many others is its apparent fascination with the technology, particularly during periods of market excitement. However, this interest tends to wane when the market experiences a downturn, revealing a lack of unwavering confidence in the technology.
Why Has the UK Cancelled Government-Backed NFT plan?
Speaking to the press following the announcement, Harriet Baldwin, Chair of the Treasury Select Committee, notes, “We have not yet seen a lot of evidence that our constituents should be putting their money in these speculative tokens unless they are prepared to lose all their money.”
She goes on to add that “perhaps that is why the Royal Mint has made this decision in conjunction with the Treasury.”
However, as Andrew Griffith, the economic secretary of the UK, put it, the proposal to introduce government-backed NFTs will remain under review.
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*All investment/financial opinions expressed by NFT Plazas are from the personal research and experience of our site moderators and are intended as educational material only. Individuals are required to fully research any product prior to making any kind of investment.
Basil is an avid fan of blockchain technology and all its innovations, and he is passionate about sharing this narrative with his audience. He has spent over five years in the crypto space, specializing in research and creating Web3 content for various media outlets around the globe.
