The French National Assembly passed the Sorare law on October 17, marking a significant step in regulating non-fungible token (NFT) and crypto-based video games.
This legislation is part of the broader Digital Space Regulation Law, which aims to establish a secure digital environment while safeguarding user rights. The law received substantial support, with 437 out of 561 members voting in favor of its adoption.
The Sorare law introduces the “Jonum regime,” specifically designed for hybrid games that combine aspects of video games and online gambling — setting them apart from traditional gambling activities.
This distinction signifies a potential victory for NFT and crypto-based gaming platforms, as it helps avoid classification as gambling. Such classification would have led to increased taxes and more stringent identity verification processes during registration.
France enforces stringent regulations on gambling games, permitting only those that are explicitly listed as exemptions. As a result, NFT and crypto-powered games, such as Sorare, face the risk of being prohibited and considered illegal under these rules.
The legislation will now undergo review by the Constitutional Council, which holds the authority to accept or reject it.
This move reflects the government’s commitment to establishing a framework for Web3 platforms, aimed at safeguarding users from potentially suspicious or unlawful activities.
In a similar vein, the UK Committee expressed concerns on October 11 about NFT copyright infringements, the integration of NFTs in the sports industry, and NFT-related advertising activities. The committee called for government intervention to protect creators and fans.
Furthermore, Dubai introduced a Responsible Metaverse Self-Governance Framework to address challenges within the metaverse. Prioritizing privacy, transparency, and inclusivity, this framework is designed to create a safer and more accountable metaverse environment.
