The groundbreaking move-to-earn startup STEPN has stated that on July 15, 2022, it would be obliged to stop providing GPS services to users in mainland China. The in-game token GST has dropped by 40% as a result of the revelation.
The Big Fall
GST token, which is traded on both Binance Smart Chain and Solana, reached a high of $7 on May 3 but has since fallen to roughly $1.60, a 77 percent reduction from its all-time high.
The native sneaker NFTs necessary to earn GST in-game have also dropped 30% in the last 24 hours and are now available for only 9 SOL. It looks that regulations within mainland China are once again proving to be a major impediment to progress in the crypto industry.
STEPN, on the other hand, claims to have “engaged in no business in mainland China since its foundation.” As a result, it appears that the decision to discontinue GPS services within China was taken to prevent users from evading systems in order to access the program.
“STEPN has always attached great importance to compliance obligations and always strictly abides by the relevant requirements of local regulatory agencies. We also remind users to beware of scams,” added STEPN by staying within the rules.
SOL, BNB, GST, and GMT are some of the tokens used by STEPN in the game. NFTs may be purchased using SOL or BNB, with the game running on both chains at the same time. GST is a utility token that is used to reward users for relocating and upgrading NFTs to improve the user experience.
The GMT token is the ecosystem’s governance token, and it’s down 37% on the day and 78 percent off all-time highs. GMT’s total market capitalization has already fallen below $400 million, placing it 84th among the leading cryptocurrencies.