The administration of the STEPN service, which allows users to mine cryptocurrency while engaging in physical activity, has announced the suspension of work in China. The decision was explained by the ban on cryptocurrencies in the country.
Blockchain-based application users buy NFT sneakers and start mining GST (Green Satoshi Tokens) by running or walking. The level of the sneakers themselves also increases, and at some point the opportunity to mine GMT (Green Metaverse Tokens) opens up.
STEPN tracks running or walking using satellite navigation, and as a restrictive measure for those whose geolocation or IP address points to China, GPS will no longer function in the application starting July 15. “STEPN has always placed great emphasis on compliance and has always adhered strictly to the relevant requirements of local regulatory authorities”– said the administration of the service in chirpwithout specifying whether it had received such requests from the Chinese authorities.
In September last year, while Beijing banned all private cryptocurrencies, it didn’t ban NFTs and blockchain technology – leaving only restrictions to discourage speculation. Therefore, there are no officially operated NFT marketplaces like OpenSea in the country.
The STEPN app launched last December and has since gained 580,000 users worldwide, of which 38,000 were active in the last 24 hours. In January, STEPN’s management announced it had raised $5 million from investors including Sequoia Capital and Alameda Research.
The GMT cryptocurrency was listed on exchanges in March. By April, its capitalization reached a record $2.4 billion, but now it has dropped to $600 million.Against the background of the blocking of Chinese users in STEPN, the GST token fell by 10% and GMT lost 30% in price but subsequently recovered.