It is believed that as goes blockchain in China so it will go worldwide, at least if you follow experts in Asia. They, the Chinese government, want to deal with the counterfeit issues on e-commerce platforms, and the issues with the fragmented amount of data to manage in logistics, supply chains, and other areas. Bringing a stamp of quality that is in high demand by Chinese citizens and investors from the government, and the officials listen and now implement it.
In China, blockchain has already become the transparency standard and has been widely accepted by consumers, businesses, and government in China. Internet giants like Alibaba and JD are investing large sums into blockchain. According to Forbes, 41% of Chinese start-ups who received funding in the first quarter of 2017 were blockchain related.
The thing is, the whole nation is promoting blockchain. President Xi Jinping calls blockchain “a breakthrough” technology. And in Beijing, Shanghai, Guangzhou, Shenzhen, Shanxi, Henan, Guiyang and Hangzhou, the local government have policies that actively encourage blockchain development. For example, the government of Yuhang District, a suburb of Hangzhou, and a local venture capital firm jointly set up a fund valued at RMB 10 billion (USD $1.6 billion).
However, these companies in China that are investing money into the blockchain, are still in the early stage of the implementation, so it is difficult to find any real-world success story examples for now. But there is one shop selling red ginseng on JD.com called Cheong-Kwan-Jang, that has seen sales increase more than 500% year-on-year between March to May after implementing blockchain into their solution. People in China believe that the blockchain’s traceability will completely change the standard for trust in the online retail sector.
People in China also believe that blockchain could change the way they park and bring them profit as well. For example, the company in Xiamen, Road & Bridge Information Co. Ltd, has shown interest in Parkson’s Green, Smart, and Connected City Platform. They know that Parksen’s platform has been used by more than a hundred municipalities in the Netherlands for several years now, and the blockchain solution could help them to deploy IoT devices in more than 55 cities across China.
China has not only actively developed blockchain-based business domestically, but it also gradually increased its global engagement. China is participating in the International Technical Committee for Blockchain Standards (named ISO’s TC 307 committee), with the U.S., U.K., Canada, Germany and 17 observing countries. Besides that, the government-backed Investment Association of China announced plans to create a blockchain investment development center for linking domestic and international resources, attracting foreign investment, and
leading international blockchain forums.
Besides that, according to data from the World Intellectual Property Organization, China is also in the leading position in terms of the blockchain patent application in 2017. Overall, you could see China’s ambitions for investment in blockchain technologies. However, to become a leader in the blockchain space, China has to leverage and coordinate all the forces in there.
In academia, China’s leading universities are devoting resources to develop blockchain-related technologies and talents. Besides that, Tsinghua University announced that they are using blockchain technology to improve the way food is tracked, transported, and sold to customers across China. Moreover, patent blockchain applications are developed on campus.
Though everything is in the early stage of the development for the blockchain in China, people believe that there will be a bright future for it in the future. If you wait for a few years, you will probably see a lot of positive changes, but why do you wait for it to happen? Join the happening!