China President Calls for Blockchain Development Acceleration

Xi Jinping, President of the People’s Republic of China and General Secretary of the Communist Party of China held a study session on blockchain technology on Thursday, October 24th.

The President spoke as part of the 18th collective study of the Political Bureau of the Central Committee on Thursday in Beijing, stating that blockchain technology has a wide range of applications within China such as financing businesses to mass transit as well as diminishing poverty.

The meeting, that took place on Thursday, is part of a workshop series held regularly by the Central Committee and was aimed at studying the current state and future development of blockchain technology. Presumably, it is the first time the party’s central committee collectively studied blockchain.

During the meeting, Xi Jinping stressed that the country’s communist party should regard blockchain as a core technology for important innovative breakthroughs and should commit to accelerating the development of the technology and subsequently aim at taking the leading position in the emerging industry.

In addition to that, China needs to accelerate the standardization of blockchain research, which will, in turn, give the country more power in setting rules and standards internationally.

 “We must take blockchain as an important breakthrough for independent innovation of core technologies, clarify the main directions, increase investment, focus on a number of key technologies, and accelerate the development of blockchain and industrial innovation.”

He further noted that it would be “necessary to implement the rule of law network” into existing and future blockchain systems. On that note, the President argued for a top-down approach concerning implementation, calling for guidance and regulation. Xi said testing of the tech should be widespread, including the investments in training platforms and “innovation teams” before implementation.

His remarks also alluded to creating a platform – Blockchain+ – which would aid personal development such as education, employment and food and medicinal safety, among other basic needs.

Meanwhile, Xi’s push for blockchain adoption comes against China’s long-standing aversion to cryptocurrencies. Since a 2017 decision by the People’s Bank of China, cryptocurrencies are banned in the country, quickly followed by exchanges.

However, the central bank is currently working on developing its digital renminbi, which will launch soon and accordingly might “re-wire [much of the world].”