China Responds to Blockchain as PBoC Official Calls for Further Adoption by Banks

Authorities in the People’s Republic of China are now fully pushing toward the mainstream adoption of blockchain in the country, especially in the financial sector, after demonstrating initial interest by issuing new rules that will govern blockchain startups in the country.

According to a report by Reuters on October 28, the head of the People’s Bank of China’s technology department, Li Wei called on all the commercial banks in the country to step up the application of blockchain technology to embrace digital finance.

The report today echoes the call of the Chinese President, Xi Jinping, on the adoption of blockchain across different sectors of the Chinese economy.

At the study session conducted by the Central Committee of China’s communist party, Xi Jinping noted that China already has a solid foundation to build on when it comes to blockchain thus should now be conscious of taking “the leading position in the emerging field.”

In addition to the call, the President highlighted how the country could promote research into blockchain and various real-world cases where it could find applications, including the country’s banking and financial system.

Meanwhile, a report by Global Times today noted that several Chinese blockchain technology-related firms listed on the A-share market closed up by the 10-percent daily limit on Monday. 

The firms maxed out on the percentage with expectations to receive more capital into the sector, following the endorsement by the Chinese government.

Yang Delong, an official from First Seafront Fund Management Co., noted that the endorsement of the blockchain is expected to boost the market’s appetite for blockchain shares and investment. He added:

But application of the technology still has a long way to ago. We need to watch carefully to see if these public companies really implement the national policy and invest in research and applications.

Generally, WeChat noted a surge in search for Bitcoin and blockchain, ever since the endorsement which has understandably spike public interest in the emerging industry.

WeChat Crypto Search

Meanwhile, the Chinese crypto trend continues with Coinfomania reporting earlier today that China Merchant Bank revealed it invested in a non-custodial wallet provider, BitPie.

 

China Flag Hand via Pixabay

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