Essentially, the Chinese government wants to create its own social network, Blockchain network and technology.
The State Council of China ordered local financial authorities and government-funded research centers to focus on the development of Blockchain technology and accelerate the commercialization of the block chain.
The official statement of the State Council of China published on May 24 indicates:
To build a regional stock market in Guangdong, according to the opening of the capital market, the timely introduction of Hong Kong, Macao and international investment institutions to participate in the transactions, we will vigorously develop the financial technology and accelerate the research and the application of Blockchain and big data technologies under the premise of legal compliance ".
"Vigorous" development of Blockchain
Throughout 2018, the Chinese government and local authorities have demonstrated a pro-Blockchain attitude, funding multimillion-dollar initiatives to develop networks based on this technology. In April of this year, the city government of Hangzhou funded the Blockchain Global Innovation Fund of USD $ 1.6 billion to finance Blockchain's startup startups and development teams.
There is also the Guangdong Pilots Free Zone, an area within the Guangdong province that encourages the development of technologies to be used in the Fourth Industrial Revolution, such as Blockchain, AI and Big Data, which hosts 71 Blockchain startups. Blockchain startups coexist with other startups and development teams that work on innovative technologies with an identical vision of commercializing revolutionary technologies.
A local analyst said China has never restricted the development of innovative technologies that could further boost its economy. In fact, it is considered that China is one of the few countries that is close to becoming "non-cash" (ie, without paper money), due to the migration of individuals and banking services companies to fintech networks such as Alipay de Alibaba
Zigor Aldama, an award-winning journalist who covered China's financial industry extensively for several years, said China is "light years ahead" ahead of other leading regions in financial innovation.
Speaking to Aldama, the founder of the Chinese consulting firm 2 Open, Luis Galán said:
I think the cash will eventually disappear in the way we know it now. With current biometric systems, it is only a matter of time before we need a device to pay. Our fingers, our irises, even our ears will be payment devices. But that means that it will be possible to track all the things a user buys in real time, not only what, but also where and when. "
China has never shied away from innovation and technological development. Your local market is so big that instead of adopting Twitter, you can create your own platform called Weibo. Instead of YouTube, China adopted Tudou and instead of adopting Facebook messenger, adopted WeChat.
Essentially, the Chinese government wants to create its own social network, Blockchain network and technology. Instead of adopting Ethereum, he wants to create his own Blockchain network that the world can use. This vision of the Chinese government is one of the main reasons why it has been open to VeChain, Qtum and other Blockchain networks based in China.
The Chinese authorities will aggressively accelerate the development of the Blockchain technology as mandated by the State Council to demonstrate that the country could be at the forefront of the Fourth Industrial Revolution and lead the development of an emerging technology such as the block chain.