China has changed the tide to be one of the leading countries in blockchain technology development. The Chinese government announced the opening of a National Blockchain Research Centre in Beijing, with the goal of training half a million blockchain industry professionals by 2025.
The move is in line with China’s push for technology self-reliance, especially in the area of blockchain, which is seen as a strategic sector. Amid the rise of the BRICS economic-political union, China is setting up a pace to be the next global superpower.
China’s National Blockchain Center to train 500,000 specialists
According to reports, the Centre will be jointly operated by the Ministry of Industry and Information Technology, Tsinghua University, and the China Academy of Information and Communications Technology. It is expected to play a significant role in driving innovation and development in the blockchain industry.
According to a report by SCMP Tech, the Centre will be responsible for the research, development, and application of blockchain technology, focusing on industrial blockchain solutions. The Centre will also be involved in standardization, industry development, talent training, and international cooperation.
According to Zheng Zhiming, a professor at Beihang University’s School of Mathematics and Systems Science, the center’s mission is to connect numerous blockchain use cases in the country — so-called “blockchain islands” — into a unified network:
“Connecting blockchain application platforms and aggregating blockchain application ecology will significantly enhance blockchain innovation capabilities and core competitiveness.“ Zheng Zhiming
According to market analysts, the Centre would work on key blockchain technologies such as consensus algorithms, smart contracts, privacy protection, and security. They added that the Centre would also be responsible for developing blockchain-related industry standards, promoting blockchain application and innovation, and supporting blockchain infrastructure construction.
The Centre aims to create a large pool of talent in the blockchain industry that will drive blockchain innovation and development in China. The Centre plans to train a total of 500,000 blockchain professionals in the coming years.
China’s blockchain push
China’s support for blockchain technology development comes despite the country’s ban on cryptocurrencies in 2019. The Chinese government has been vocal about its support for blockchain technology as a strategic sector that will help the country to achieve technological self-reliance.
According to a report by Cryptopolitan, the Chinese government has been investing heavily in blockchain technology, with the central government allocating more than $4 billion in blockchain-related projects in 2020 alone.
The Chinese government has also been promoting the use of blockchain technology in various industries, including finance, supply chain management, and healthcare. In 2020, the country launched a blockchain-based service network that aims to provide blockchain infrastructure and services to businesses and individuals across the country.
China’s push for blockchain technology is seen as a move to reduce its dependence on foreign technology and establish itself as a leader in emerging technologies. With the launch of the national Blockchain Research Centre, China aims to build a strong talent pool in the blockchain industry, promote blockchain innovation and development, and achieve technological self-reliance.
Hong Kong’s crypto safety haven
Despite the government’s emphasis on alternative blockchain applications, China’s digital asset firms have had to find methods to circumvent the country’s crypto ban.
Moreover, the Chinese population’s demand for cryptocurrencies remains robust. And enforcing the blanket ban on cryptocurrency trading has proven problematic. Some businesses have found success by relocating their operations from mainland China to Hong Kong.
In contrast to Beijing, Hong Kong has fostered an environment conducive to crypto businesses. And some of the largest crypto companies in the world now have offices there.
For instance, businesses such as Huobi have increased their presence in the city in spite of being virtually crippled by the crypto ban. Moreover, due to Hong Kong’s crypto-friendly policies, Huobi and its competitors have regained some of their luster.
Some Hong Kong branches of mainland institutions have also onboarded crypto customers. The Hong Kong Monetary Authority issued a circular at the end of last month instructing local banks to assist regulated virtual asset businesses with a “legitimate need for bank accounts.”
