PBoC official says China should focus on Blockchain to develop fintech

On Thursday April 26th , an official at the People’s Bank of China( PBoC), gave a statement, declaring that China must increase its efforts to further develop core technologies like the blockchain to provide even better and efficient solution to the real economy while also promoting an in-depth development of the overall blockchain market and ecosystem simultaneously.

As per Yao Qian, Director-general of the Institute of Digital Money at the People’s Bank of China, said, “In order to promote financial technology, China is on the right path by conducting an in-depth research on the blockchain technology as it is undoubtedly an emerging technology that may perhaps transform into a financial infrastructure in the future.”

Yao further added, “Currently, in order to utilize the blockchain technology for real business, it would have to undergo massive improvements at the technical level.”

He further concluded his speech, at the forum on blockchain applications and investments held by the China Centre for Financial Research at Tsinghua University School of Economics and Management, by saying,  ” Confronting the continually advancing blockchain technology, financial regulators have an uphill task ahead, for we ought to consider making laws, principles and technical standards to increase regulations and avert dangers.”

Also, Tsinghua SEM announced the launch of its Blockchain Financial Research Center at the forum on Thursday, April 26th.

Regarding this launch, He Ping, Director of the China Centre for Financial Research at Tsinghua SEM, said, “By promoting blockchain technology, it may have a tremendous impact on the financial system, payment systems, international trade, and corporate business models.  One of the missions of this forum is to examine blockchain-related financial practices to provide details for improving productivity while also providing data to regulators and policymakers.”

Back in September 2017, trading platforms were banned from cryptocurrency trading in China, not only that the country with the largest population also called for a halt to raising funds via initial coin offerings.

Notably, in the meantime, the People’s Bank of China was actively planning for digital fiat currencies – the digital form of a sovereign currency that is recognized by the national bank. A year ago, Yao said that the PBOC has effectively planned a model that can manage the supply of its future digitalized fiat currency.

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