China might be a staunch critic of cryptocurrencies, but when it comes to Blockchain technology, they welcome it. Surprising as it may seem, that’s what is currently happening in the country.
Specifically speaking, the government is currently finding ways on how to assimilate the revolutionary technology into their economy, and to a greater extent — to their society. Reports said that the Asian superpower wanted to create “standards” that will help boost the development of Blockchain tech in the country.
China hopes to introduce a more efficient and sustainable system to various government processes, with the help of distributed ledger technology (DLT). The Ministry of Industry and Information spearheads this surprising development.
According to a report, the department had just hosted a research seminar that discussed the creation of a standard framework that runs on the Blockchain. Analysts believe that this recent development isn’t at all surprising, knowing how China wants to outcompete the United States when it comes to technological prowess.
This also shows that the country is very serious in its goal of dominating the tech industry. The China Electronics Standardization Institute proposed the Blockchain project to the Chinese government. It was approved and was quickly passed on to the ministry for supervision and guidance.
In turn, the Ministry of Industry and Information said that major Chinese standardization organizations are currently weighing in on whether they will support the campaign or not. This isn’t the first time China has been involved in regulating Blockchain-driven technologies.
In fact, the country has been an active participant of the TC 307 commission of the International Organization for Standardization for years. It’s a governing body that aims to develop practical applications of Blockchain technology. However, China recently stepped things up as it sought to have its own local governing body that will directly supervise Blockchain development in the country.
The campaign is also in line with the positive perception of the country on adopting Blockchain tech. Indeed, it’s evident that the rise of this technology is inevitable, even in a country that isn’t shy of expressing its distaste for cryptocurrencies — which help secure the Blockchain.
China has been vocal about its disapproval of digital currencies since last year. In fact, it had implemented a total crackdown on all crypto exchanges operating in the country. As a result, China-based firms like Binance, an exchange known for its vast altcoin selection, and OKEX fled the country and transferred their base of operations to nearby Hong Kong.
Cryptocurrencies defy the rights of the People’s Bank of China (PBC), the central bank of the country. The PBC is the only institution that can legally create and circulate currencies.
Analysts point to China being the reason for the recent Bitcoin slump, stating that the continuous crackdown on all-things-crypto creates a negative reputation surrounding cryptocurrencies.