The President of China, Xi Jinping said at the annual academic conference hosted by the Chinese Academy of Sciences that a new generation of technology represented by artificial intelligence, quantum information, mobile communications, Internet of things (IoT) and blockchain is accelerating breakthrough applications. He emphasized that China need to pay heed on technological development to become the global center of science and innovation.
The president of China also highlighted the power of blockchain technology since it has breakthrough applications.
Chinese President Xi Jinping said in a speech this week that blockchain — the technology underlying bitcoin — has “breakthrough” applications.
He elaborated :
Ever since the start of the 21st century, a new generation of industrial revolution is substantially reshaping the global economic structure … with artificial intelligence, internet of things and blockchain constantly making application breakthroughs.
CRYPTOCURRENCY IN CHINA -THE PAST AND PRESENT
September 2017 saw an official ban on cryptocurrency trading by the Chinese government and local financial authorities led by the People’s Bank of China. The local cryptocurrency exchanges were shut down and orders were issued to commercial banks to stop cryptocurrency transactions.
The Impact Of Ban
The ban did not create much impact, efforts for developing the blockchain and decentralised platforms by Chinese government and local conglomerates such as Alibaba and Tencent were visible .
As reported by MarketMongers on May 27 the state council of China has ordered the research centres and financial authorities to gear up the development of blockchain technology and its commercialization.
The official statement of the State Council of China reads:
To build a regional equity market in Guangdong, according to the opening up of the capital market, timely introduction of Hong Kong, Macao and international investment institutions to participate in transactions. We will vigorously develop financial technology and accelerate the research and application of blockchain and big data technologies under the premise of legal compliance.
At present Hangzhou city government is going to spend $1.6 billion on funding blockchain startups. ZhongAn, a big name in insurance sector in China is working to use the blockchain technology in processing healthcare records, financial information, and payments through a partnership with more than 100 hospitals in the country.
Most recently, ZhongAn, an insurance giant in China founded by Alibaba and Tencent founders Jack Ma and Pony Ma Huateng, partnered with more than 100 hospitals to utilise the blockchain in processing healthcare records, financial information, and payments.
WHAT THE FUTURE HOLDS FOR BLOCKCHAIN IN CHINA
The government of China seems keen on utilising the power of blockchain technology. The president Xi Jinping’s recent speech reveals country’s interest for long term adoption of blockchain technology. The blockchain technology is receiving great welcome and promotion through initiatives and large allocation of funds by the government of China.
China is marching ahead to to create it’s own social media network and blockchain technology in place of adopting Ethereum. In the coming months you will see China ‘s own blockchain network instead if Ethereum just like it’s Weibo and Tudou in place of Twitter and YouTube respectively.
In Chinese State Council’s 13th five-year economic plan released in 2016, Blockchain has been mentioned twice. So, the blockchain can expect a bright future in China.