Two tokens that support the popular “move-to-earn” cryptocurrency app Stepn, STEPN (GMT) and Green Satoshi (GST), came after the game announced it would ban users from mainland China. Both token prices plummeted.
The game announced on its Twitter account last Thursday: “If a Chinese mainland user is found, STEPN will stop providing GPS and GPS to their account at 24:00 (UTC + 8 hours) on July 15, 2022 in accordance with the terms of use. IP location service. We apologize for the inconvenience and thank you for your understanding. STEPN has not been involved in any business in mainland China since its establishment, and has not provided a download channel.”
Two related tokens, STEPN (GMT) and Green Satoshi (GST), saw double-digit declines immediately following the announcement.
GST plummeted from $2.08 to $1.53, a drop of more than 6%, and fell 8.8% to $1.46 on May 30; GMT price also fell from $1.24 to $0.83, but it has roughly recovered the decline. In the past 24 hours, it has risen 32% to $1.224.
Still, both coins remain well below the all-time highs they reached in late April, when they climbed to $9.03 and $411, respectively.
Both tokens and NFTs for different shoe styles work within Stepn’s crypto game.
Users can download this app and buy NFTs of different running shoes for the game. After purchase, users can open this app while walking or running to earn GST tokens, and the way of earning is based on the NFT running shoes the user holds. Determine how many tokens you can earn based on the speed and distance of the player walking or running. Users can also lend their NFT running shoes to other players to earn GST coins.
GST tokens can then be used to upgrade their NFT running shoes or repair NFT running shoes.
Also, it is possible to earn GMT tokens by playing the game, but it allows holders to use different activities, change the name of their running shoes, etc.
This is not the first time mainland China has cracked down on the cryptocurrency industry. But for Stepn, it’s unclear whether the project is facing pressure from the Chinese government. Previously, this kind of encrypted game has become more and more popular in the market.
Shiti Manghani, chief marketing officer of Stepn, said on Friday: “From the very beginning, we have been complying with local regulations in China as part of our long-term strategy. We want to be a sustainable long-term project.”
Shiti Manghani said: “As part of this, we have to implement GPS technology to prevent cheating. And with regard to GPS regulation, the regulations and regulations in China are different, so we are not the only one. For example, Nike has just removed their Nike Run. Club app. We have to abide by local regulations, and that’s where we can stand in any country in the future. Web3 has no borders, but unfortunately, policies do.”
According to Shiti Manghani, Stepn doesn’t see regulations as an obstacle, but as a path toward mass adoption.
