The Chinese government is turning its attention to blockchain technology with the establishment of National Blockchain Technology Innovation Centre.
What happened: The Beijing-based center will focus on developing key technologies and industrial applications within the blockchain space.
Citing an article by the state-run Beijing Daily, the South China Morning Post reported that the center will concentrate on basic theory, software and hardware with a goal of making blockchain a critical foundation for China’s digital infrastructure.
Although China took a tough stance on cryptocurrencies, it gave increased support to the growth of blockchain technology.
In 2021, the government clarified that all cryptocurrency trading was banned in the country, but President Xi Jinping emphasized that blockchain will play an important role in the next round of technological innovation and industrial transformation.
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The country’s main regulators of the technology industry, the Ministry of Industry and Information Technology and the Cyberspace Administration of China, have also set guidelines for the widespread use of blockchain across various industries by 2030.
Why it matters: China’s investment in blockchain technology had seen an increase, with an influx of investment from both Big Tech firms and start-ups.
As of July 2022, the country had 1,821 blockchain companies registered with the Cyberspace Administration of China, covering a variety of industries, including legal, financial, agricultural, and intellectual property protection.
An official from the Ministry of Industry and Information Technology boasted that China had the most blockchain patent applications globally, accounting for 84% of the world total.
In addition, the state-backed blockchain-based service network rapidly advanced with domestic and foreign projects, including Spartan Networkaimed at getting businesses outside of mainland China to adopt blockchain for uses beyond cryptocurrencies.
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