The Royal Mint Will Not Pursue an NFT Strategy After All

CryptoMode UK Royal Mint NFT

The U.K. government has decided to cancel a highly anticipated project in the red-hot space of non-fungible tokens (NFTs), citing concerns over demand. 

The Royal Mint was initially tasked in April 2022 by then-Finance Minister, now Prime Minister Rishi Sunak, to create an NFT. However, Finance Minister Jeremy Hunt stated in a Treasury Committee meeting on Wednesday that the government was not convinced there would be sufficient demand for such a product.

Hunt acknowledged the U.K.’s desire to be at the cutting edge of new technology but stated that the world had changed significantly since the project was first proposed. 

The NFT space, which generated significant media attention and celebrity endorsements, peaked in January 2022 with global sales of $5 billion on some days, according to CryptoSlam.

However, recent 24-hour sales data is below $45 million. That confirms non-fungible tokens are not the hot commodity anymore, although most people with a functioning brain saw that coming. 

Despite canceling the NFT project, the U.K. government remains committed to its crypto hub ambitions. The government has publicly expressed its determination to continue to support and develop the U.K.’s crypto industry.

The decision to cancel the Royal Mint’s NFT project comes amid growing scrutiny of the NFT market, with some observers questioning the long-term viability of the market. 

The U.K.’s decision is likely to be seen as a setback for the NFT industry, which has been hoping to gain greater mainstream acceptance. 

Unfortunately, it has met numerous setbacks and continues to struggle for momentum. The technology remains intriguing, but it seemingly has no place in real-world use cases at this time. 

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