New BlockData Research Indiciates China Has Become Top Gun In Blockchain Projects
Blockchain technology is making advancements globally, but China seems to have been trailblazing the path. Till November 2018, the country had accounted for 263 blockchain projects. This accounts for over 25% globally.
These numbers were crunched by Beijing based data service provider Blockdata. The company’s chief editor, Zhang Feixue said:
“The main strength of blockchain is in decentralized data management. It can serve the real economy in terms of circulation and distribution. In the field of industrial economy, blockchain allows various assets to flow in the digital world, so it is a real gateway to digitalization for industries.”
To add to it, Paul Sin, the leader of the Asia Pacific Blockchain Lab at global advisory company Deloitte, said:
“Whenever there is a need to synchronize data, especially sensitive information, across companies, industries, and geographical boundaries, blockchain can offer a great solution due to its cryptographical protection of data.”
The Chinese government’s blockchain strategy has been twofold: investing heavily in blockchain development, innovation and implementation while also cracking down on blockchain systems it can’t control. Blockchain development is part of China’s “13th Five-Year Plan.” The Chinese government has invested billions in blockchain partnerships with Chinese firms.
Notably, internet giants Baidu, Alibaba and Tencent – collectively known as BAT in the industry – have launched their own blockchain initiatives. Alibaba has been using blockchain in areas such as public welfare, food, and healthcare since 2016. With 90 blockchain-related patents, it ranked No 1 in the Top 100 Blockchain Enterprise Patent Rankings, followed by international technology giant IBM's 89 patents. Tencent ranked eighth with 40 patents, while Baidu was 40th with fewer than 20.
International blockchain companies are also looking to China for opportunities. Digital Asset in New York is one example. The DLT providers are operating with Hong Kong Exchanges and Clearing to develop a blockchain-powered program to help international investors to trade Chinese mainland shares via Hong Kong's Stock Connect system.
2018 was described as the first conducive moment of DLT application by the industry. Extending from the central to local governments, the direction of development has changed. Recently, the political leaders in the country including the National People’s Congress (NPC), were demanding for crypto regulation.
Even though the country has embraced blockchain and distributed ledger technology, it is far from adopting cryptocurrencies.