STEPN, the move-to-earn application will be blocking users in mainland China from accessing its services by mid-July. This is in response to China’s new Personal Information Protection Law (PIPL).
STEPN and Mainland China Users
In an announcement made on May 26, STEPN plans to conduct an inventory of users using its application. The aim is to spot users located in mainland China and eventually bar them from accessing its Social-Fi and Game-Fi elements.
Particularly, STEPN will cease to provide Global Positioning System (GPS) and Internet Protocol (IP) location services to users in mainland China with effect from July 15, 2022.
The decision by STEPN to deny users in this vicinity access from the said date is in compliance with China’s regulatory policies.
Furthermore, STEPN tweeted;
If you expect to log in and use your account from a GPS or IP location in the region for a long period of time, we encourage you to make your own decisions about the handling of in-app assets. During this period, more details will be notified to users through official social media announcements, emails, in-app alerts, etc.
China’s Regulatory Problems
The Chinese government is one of the governments with rigid crypto policies. Little wonder many crypto companies have vacated the nation to other favourable locations. Unfortunately, Chinese adopters of the popular move-to-earn app have been recently affected by these regulations.
China’s new Personal Information Protection Law (PIPL) took effect on November 1, 2021. Consequently, companies have been urged to comply as violations could lead to fines ranging between $7.7 million or up to 5% of a company’s previous year’s business revenue.
The new policy seeks to protect the rights and interests of personal information, regulate personal information processing activities, and promote the rational use of personal information by companies. The law demands that cross-border data transfers be submitted first to China’s Cyberspace Administration.
According to the Solana-based project, STEPN has always attached great importance to compliance obligations. Hence, it always abides strictly by the relevant requirements of local regulatory agencies. This justifies its decision to boycott Chinese users.
STEPN noted that it has not engaged in any business in mainland China since its establishment and has not provided download channels as well.
Reportedly, less than 5% of STEPN’s users are in mainland China. Therefore, the impending development will likely have a mild impact on the project.
On the whole, STEPN is a web 3 lifestyle application with social and game elements. With the application, players can earn by walking, jogging, and/or running.
At the time of writing, STEPN’s native token GMT is trading at a price of $1.19, from an all-time high of $4.11 in April 2022.