Tencent to shut down Chinese NFT platform Huanhe a year after launch, report says, amid declining market
- China’s ban on secondary trading of digital collectibles has killed the platform’s business potential, local media reported
- Tencent has been forced to take strict measures to curb NFT reselling, and its business group that includes Huanhe was the hardest hit in recent lay-offs

Tencent did not immediately respond to requests for comment.
If the platform is shut down, it would mark a major retreat by Tencent from the NFT market, which has been under tight scrutiny from Beijing since growing fervour last year ignited a race to develop new trading platforms.
On the Huanhe app, all NFTs currently show “sold out”, but users can still visit augmented reality art exhibitions. A report from state-owned media Yicai Global, also citing an unnamed source at Tencent, said trading halted at the beginning of the month in anticipation of a crackdown.
The central government strictly banned the trading of cryptocurrencies in China last year, following years of crackdowns. It has also been wary of speculation that could lead to asset bubbles in the crypto market. As a result, digital collectibles must be purchased with yuan, and reselling for a profit is banned.