Chinese Politician Suggests a State Blockchain Assets Trading Platform

Chinese Politician Suggests a State Blockchain Assets Trading Platform

Potentially bullish news from China: A high-ranking official has called for a national digital asset trading platform to be established.

Chinese People’s Political Consultative Conference (CPPCC) member Wang Penjie made the statements earlier this week.

The move would follow strict guidelines, with assets undergoing a vigorous “approval system” and users of the platform would also have to undergo a vetting process, confirming real identities. As well as opening the platform, Penjie suggested providing greater investor education regarding blockchain technology.

The official report states:

Whilst Penjie’s suggestion is not an official statement of intent by Chinese authorities, it does represent a noticeable change in perceptions of blockchain technology by officials. It follows a full-page article on the benefits of blockchain technology in China’s official news outlet, The People’s Daily from last week. The piece was extremely bullish, referring to the technology as “highly ingenious” and next internet.

These developments may be indications of a changing policy towards blockchain and cryptocurrency in China. Whilst official sanctioning of the technology is not yet a reality, there is certainly a highly positive sentiment emanating from many circles in Chinese society.

An article from Sohu yesterday is one example. It brought together the opinions of over twenty Chinese business leaders, innovators, and regulatory officials and almost all of them had only positive statements to make regarding developing distributed legend technologies, including cryptocurrencies.

Prominent Zeng Ming, chairman of the Academic Committee of Alibaba Group, which reported revenue of $23.82 billion last year, said

This sentiment was shared by Yao Jinbo, founder of 58.com, China’s largest classified site and with a personal valuation of $1.2 billion.

Others were equally enthusiastic. Cai Wenshseng, Chairman of technology giant Meitu spoke of blockchain technology as both a technological and cognitive revolution. Meanwhile Xu Xiaoping, founder of True Fund, issued a literal call to arms, imploring CEOs to join him “all in on blockchain”. His words could not have been more confident: ” Do not doubt the blockchain, do not hesitate, immediately mobilize all staff to embrace the blockchain.”

The statements from big industry players in China are not just hot air. This month it was announced that a subsidiary of the consumer giant Alibaba had successfully implemented blockchain technology to handle logistics data. At the time of writing over 30,000 imported goods, ranging from Shanghai to Shenzen had been logged with the system.

It appears that China will enthusiastically adopt blockchain technology across industries, with a broad range of use cases. However, there has been some distinction between decentralized virtual currencies, including Bitcoin and Ethereum. China has already banned foreign cryptocurrency trading platforms, blocking access to sites using its national firewall. Many observers have interpreted developments in the nation as damning for decentralized currencies – but today’s announcement that a national trading platform could be launched may be a turnaround.

Whilst there has not been official confirmation the project will go ahead, and it is also unclear whether Bitcoin, Ethereum, and other decentralized currencies would be included, today’s news marks a ray of hope.

That’s because Pengjie’s suggestion did not explicitly rule out decentralized currencies from being included.

The reopening of Chinese markets would be hugely bullish for cryptocurrency prices – at the time of the closure of exchanges, Chinese traders represented some 40% of total market share. We would likely see a huge flood of investors looking to get involved.

Whether this will come to pass is currently speculative, but with enthusiasm for blockchain technology growing significantly, we may not have to wait long to find out.

Featured image from Shutterstock.

06.03.2018 / 05:05 52
Blockchain Needs Some Centralization, Says Chinese SEC Official Blockchain Needs Some Centralization,
An official from one of China's financial regulators argued at the "Two Sessions" conference in Beijing on Sunday that blockchains are better if not
Member Of Chinas Main Political Advisory Proposes National Crypto Trading Platform Member Of Chinas Main Political
Wang Pengjie, a member of Chinas top political advisory board, has recently suggested that China create its own regulated crypto exchange. A member
China's Biggest Political Event Sees Talk of Blockchain's Potential China's Biggest Political Event Sees
Chinese policy advisors from across various sectors have been weighing in on domestic blockchain development during the first days of an ongoing
Chinese Retail Giant To Use Blockchain To Track Beef, Prove Food Safety Chinese Retail Giant To Use Blockchain
Chinese retail giant JD.com to implement Blockchain-based food monitoring system for its beef supply. The Chinese e-commerce giant JD.com is
Marshall Islands Plans To Launch National Cryptocurrency And ICO, Govt Officials Report Marshall Islands Plans To Launch
The Pacific nation the Marshall Islands is all but set to launch its own state-issued cryptocurrency via an ICO, which will circulate alongside the
Chinese Internet Giant Baidu Releases CryptoKitties-Style Game ‘Leci Gou’ Chinese Internet Giant Baidu Releases
Search engine giant Baidu has launched a CryptoKitties-style blockchain application in a bid to challenge the popular — and lucrative — game for
Comments (0)
Add a comment
Comment on