China’s blockchain sector has grown substantially despite the pandemic and the subsequent economic stagnancy that dominated the first half of 2020.
As a report released on August 8 by LongHash – a blockchain and crypto data platform – shows, the number of blockchain companies established in the country between January and July was more than 10,000.
Since the start of the year, the Chinese government has been implementing policies to develop the blockchain sector in a number of regions, among which are Beijing, Hebei, Guizhou, Hunan and Hainan. Public services have been actively transferred into the blockchain system. Beijing alone now has 140 public service operations using a blockchain system.
On August 6, Guangxi Zhuang Autonomous Region announced that it is joining the blockchain ‘party’ with the aim of becoming the leading force in China’s western region, marking a milestone in blockchain’s development in China and further stressing the country’s determination.
The new development has also shown immense benefits with regards to information transparency. The Paper reported that several wholesale markets in Hangzhou have given seafood products a unique ‘info card’. Now, customers need only to scan the info card to view the entire profile of a particular product, including when and where it was produced.
As the coronavirus continues to spread around the world, the new technology has responded to people’s demand for food safety and serves to limit the spread.
Although an expanding industry, the blockchain sector mostly consists of relatively small enterprises. Figures reported by LongHash revealed that the maximum registered capital for new blockchain companies was RMB5,000. Meanwhile, only some have registered with over RMB50,000.
Additionally, China’s central bank provided USD4.7 million in funding for its blockchain trade platform over the next three years. Two hundred and twenty-four blockchain projects from major companies, such as JD, Walmart and Baidu, have also been approved by the government.
[Cover image via Pixabay]