China's Top Private Bank Chair: Blockchain Tech Adoption Will Upgrade All Areas Of The Economy

world news   05 Feb, 2020   Views: 54

China’s Blockchain potential could be unleashed to boost agriculture, finance and manufacturing, Chairman of Minsheng Bank states.

In a report published on the Economic Information Daily, a China based publication, the Chairman of the first Bank in China to adopt blockchain technologies, Minsheng Bank, Hong Qi, said the world of blockchain, digital currencies and decentralized systems is the future to boost overall economic growth.

Qi spoke of the possibilities that blockchain technology presents to accelerate China’s digital transformation in sectors including agriculture, finance, manufacturing. Minsheng Bank has a made a name for itself with offering loans to small and medium sized businesses. They also boast of being the only privately owned National Bank. Hong Qi, Chairman, Minsheng Bank said,

“The full adoption of digital technologies such as Blockchain is expected to accelerate the digital transformation and upgrade its agriculture, manufacturing, finance and other services in the next 10 years.”

China’s accelerated progress in blockchain technology

There seems to be a consensus amongst bankers in China that Blockchain will indeed alter the fundamental principles of the financial systems. This will most likely trigger a major impact foundational systems of the existing banking system and relationships between participants.

In December, reports coming from China seemed to indicate that Bank of China had issued close to 20 billion Yuan ($2.8 billion) in Blockchain special bonds to SME’s. These funds are specifically set aside for the SME’s supporting their continued development in the economy.

Notwithstanding, a recent local report confirmed the massive growth in blockchain projects within the country despite ICO and exchanges ban across mainland China. According to the report over 57 new blockchain projects have hailed from China in the past month representing over 110% month on month increase in projects.

The soaring number of companies getting into the field is also frightening as both top and smaller companies are taking up their fair share of the blockchain market. Top firms such as Alibaba, Tencent and Ant Financial are some of the blockchain adoptees in China.

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