The Tencent application for the trademarks in the metaverse is not the first attempt the company will be making to exert its deep interest in the space.
Chinese multinational technology giant, Tencent Holdings Ltd (HKG: 0700) has filed for a patent to host virtual concerts in the metaverse as it explored avenues to extend its foothold in the fast-growing offshoot of blockchain technology. The filing, lodged with the Chinese National Intellectual Property Administration (CNIPA), seeks to position Tencent as the leader in metaverse related innovations, a trend that has peaked amongst multinational tech firms in recent times.
Tencent’s pursuit of innovations in the metaverse comes following incessant warning calls from the Chinese government through the People’s Bank of China (PBoC) about the dangers of innovations in the metaverse. The apex bank officials have often maintained the fact that Non-Fungible Tokens (NFTs) or any of the asset models linked to the metaverse can easily be used as a means to launder money as well as evade tax obligations by individuals.
This is partly because NFTs can be a highly valuable asset that can cost hundreds of thousands to millions of dollars. With no regulations yet defined to govern the NFT and metaverse world as a whole, many potential criminals are bound to find an avenue to exploit the loopholes inherent in the new industry to get away with transactions that may be out of the purview of regulators.
While the Chinese government has banned all forms of engagement with digital currencies like Bitcoin (BTC) as well as Proof-of-Work (PoW) related mining activities, a good number of Chinese investors are still very much involved with NFTS and the metaverse as a whole. Drawing on the hype in this sizzling hot space, as many as 1000 Chinese tech companies have filed over 16,000 metaverse-related trademark applications according to a report from The Paper.
Tencent Not New to the Metaverse
The Tencent application for the trademarks in the metaverse is not the first attempt the company will be making to exert its deep interest in the space.
As of December last year, Tencent organized China’s first-ever virtual concert in the Metaverse, a New Year celebration called TMELAND. The New Year’s celebration saw as many as 1.1 million fans join the celebration, showcasing the fact that there is a ready market for whatever innovation the company will roll out should the patents be granted.
Tencent’s bid to take charge of the metaverse is also being bolstered by its acquisition of Black Shark and Wave, an American tech startup that uses motion-capture technology to create realistic virtual concerts. Riding on the successes of Wave’s record in organizing concerts in the metaverse, one of which featured The Weeknd on TikTok last year, the company is ready to concentrate its efforts on revamping its proposed offerings through the startup’s technological capabilities.
Beyond China, companies like Meta Platforms Inc (NASDAQ: FB) are also heavily invested in the metaverse, forming what many believe will be a major trend in the coming decade.
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