China’s official state-owned media has supported “orderly” blockchain innovation but cautioned the public to “keep it rational” and avoid the hype around “aircoins.”
On October 4, Dovey Wan, the founding partner of Primitive Ventures, a blockchain-based investment company, tweeted two screenshots showing a rough translation of the new report from China Daily, the CPC-owned English-language news portal.
JUST IN People’s Daily (CCP’s official media outlet) just published another featured commentary as “Blockchain, a breaking point for China to overtake” Highlighted part really worths extra read here (attached auto translation) pic.twitter.com/y7p3p5vjxC — Dovey 以德服人 Wan 🗝 🦖 (@DoveyWan) November 4, 2019
However, the People’s Daily article opens with the bullish statement that with blockchain “the future is here”, yet swiftly goes on to draw a sharp distinction between genuine innovation in the sector and what it deems to be undesirable virtual currency speculation:
“Innovation in blockchain is not equivalent to speculation in virtual currency. The use of blockchain to hype up aircoins […] should be prevented.”
The report continues to caution that blockchain remains in its early stages of development and still demands improvements in terms of security, standardization and regulatory oversight:
“The use of blockchain to store and spread illegal information, to enable illegal transactions, money laundering and similar activities should be severely punished.”
The report also advocates for “inclusive and prudent regulation” that allows for experimentation but prohibits transgressions.
It states that only by avoiding a frenzied rush can China foster the development of the blockchain sector with “orderly competition.
As the People’s Daily notes, China already has a solid foundation for implementing blockchain development with the participation of major internet firms in the sector as well as with over 20 of the country’s provinces already introducing policies to promote the industry.
It has been reported by the Global Times that a new, independently-developed blockchain-based smart city identification system has been jointly launched by three institutes based in the city of Shijiazhuang in north China’s Hebei Province. The system has been made available for cities nationwide as of November 3.
So, according to the city’s tax authorities, this week, over 10 million blockchain-based invoices were successfully issued in China’s tech capital Shenzhen.