The goal of China to become a global blockchain leader had seen the country taking a series of steps to spur industry development. Just recently, China News had announced that the first provincial-level blockchain application innovation industry alliance had been unveiled in Chongqing.
In January the country had announced steps to include blockchain-related education for primary, middle, and higher education schools by 2022 and now some of the largest Chinese companies are forming a team in order to accelerate potential developments.
Blockchain alliance and a public service platform
Big names like Huawei, Tencent, Baidu, or Ziguang, among other 100+ blockchain-interested companies, had joined the Blockchain Alliance from Chongqing, with the goal of the aggregating potential energy of the blockchain industry, integrate public resources, and promote the blockchain.
At the same time, the event that recently took place in the Chinese province had marked the launching of Yu Express Chain, a Chongqing blockchain public service platform that provides blockchain engine service and blockchain development service. Zhang Fan, vice president of Inspur Group, talked about four advantaged of the Yu Express Chain.
Scene-based encapsulation, easy-to-use developer interface, a hybrid chain architecture, and secure multi-party computing technology, should drive the industry to gather and develop. Based on the company’s projections, it should manage to realize 1,000 patents applications for core enterprises, create 20 in-depth application scenarios of blockchain, in order to create 5 billion Yuan in output value.
Blockchain first, cryptocurrency later
China insists on focusing mainly on blockchain technology while leaving aside cryptocurrencies like Bitcoin, Ether, or Litecoin. It’s been close to two years since the country had started to fight against traditional cryptocurrencies, mainly to keep the same control over public finances.
Considering that digital currency systems would allow citizens a greater degree of freedom for the population, the communist regime does not fancy the idea of loosening the grip on financial control. Although the Western World had been more permissive with cryptocurrencies, embracing them as a replacement for fiat money looks to be impossible right now.
The IMF had talked about the central bank digital currency (CBDC) concept, highlighting both positives and negatives in case such an implementation will materialize. All in all, blockchain developments are expected to advance exponentially over the next few years, given the increased interest from both the public and private sectors, while cryptocurrencies should struggle with regulatory and structural issues, which had undermined trust starting from 2017.