China is accelerating efforts to establish a massive blockchain network, despite its strict anti-crypto stance. The goal is to allow the government of China to engage in blockchain-related activities, especially in a cross-border setting. The Chinese government has launched the ‘Ultra-Large Scale Blockchain Infrastructure Platform for the Belt and Road Initiative'. Announced in 2013, China's ambitious Belt and Road Initiative (BRI) is a development strategy for a global infrastructure through which it aims to connect continents across land and sea.
The project for the upcoming Chinese public blockchain platform is being spearheaded by Conflux Network, and the launch was announced on Sunday. A multichain blockchain system, the network is operated by the Conflux Foundation which is also called the Shanghai Tree-Graph Blockchain Research Institute.
The Conflux Network posted updates about the project on X (formerly Twitter), revealing that the platform would "provide the base for developing applications that showcase collaboration across borders." Other details related to the project are yet to be announced.
The main focus of the project is to create a public blockchain infrastructure platform. This platform will be able to support the implementation of cross-border cooperation projects along the Belt and Road Initiative. It will provide the base for developing applications that… https://t.co/MkWgRY2G8A
— Conflux Network Official (@Conflux_Network) April 1, 2024
This is not the first time that China is shown some interest in exploring the Web3 sector. The Chinese government recently hinted at its preparedness plan to address the growth of metaverse technology in the country.
In January 2024, the Chinese government set up a special body tasked with the responsibility of setting the standards for the use of the metaverse tech in China. This group consists of several Chinese tech majors including Tencent, Baidu, and Ant Group.
China also leads the Asian market in conducting CBDC trials into advanced phases with international banks such as Standard Chartered participating in the trials.
While Beijing imposed a blanket ban on crypto-related activities in September 2021 owing to electricity shortages, an underground network of crypto traders has managed to keep the trading operations running. A December 2023 report by Vietnamese investment capital firm Kyros Ventures claimed stablecoins are particularly popular in China with 33.3 percent of Chinese investors holding those digital currencies.
