The developments surrounding blockchain technology in China appear to have accelerated following the recent statements by President Xi Jinping. Interest among the Chinese in blockchain peaked and a central bank board member is calling on commercial banks to start using blockchain.
The blockchain ball started rolling when President Jinping made some very interesting statements last week. During a speech he stated:
We need to see blockchain as an important breakthrough for independent technological innovation, explain the main directions, invest more, focus on various important technologies, and accelerate the development of blockchain and industrial innovations.
Shortly thereafter, the bitcoin (BTC) rate rose very fast and even reached $ 10,500. A huge increase. Whether or not Jinping’s speech was the direct reason for the rising rate is unclear .
It was clear that interest in technology and also bitcoin increased enormously in China, shortly after the speech. This is evident from the number of searches via WeChat, as appears from data shared by Cole Kennelly:
WeChat searches (10/23/19):
– 区块链 (Blockchain): 777K
– 比特币 (Bitcoin): 572K
WeChat searches (10/25/19):
– 区块链 (Blockchain): 9.2MM
– 比特币 (Bitcoin): 1.3MM
— Cole Kennelly ⬙ 🦄 (@ColeGotTweets) October 27, 2019
Since then, developments in China with regard to blockchain have followed rapidly. For example, on Monday the head of the technology department of the People’s Bank of China (PBoC) called on commercial banks to use blockchain. This appears from reports from Reuters.
The central bank itself is currently working on the development of its own digital yuan. The launch of this digital currency will take place soon. Recently it became clear that the PBoC is looking for six blockchain experts to help the bank with the development of the digital yuan.