89% of China’s blockchain firms have allegedly tried to create their own cryptocurrency, according to a senior exec at a local blockchain association. 

According to the state-run CCTV on Nov. 21, Yedong Zhu, the president of the Beijing Blockchain Technology Application Association (BBAA), revealed that the vast majority of blockchain industry in China is focused on tokens, not blockchain. 

In addition to Zhu’s remarks, the report by CCTV covered a new study led by the People’s Bank of China (PBoC).

Co-authored by five local financial and technology authorities, the “Bluebook on Blockchain” report reveals that there are 28,000 blockchain enterprises in China. 

The authors of the “bluebook” included the Chinese Academy of Social Sciences, the Payment and Clearing Association of China, the Beijing Blockchain Technology Application Association and Social Sciences Academic Press.

BBAA president: 4,000 out of 28,000 Chinese DLT firms are focused on pure DLT

According to the BBAA president, only 4,000 Chinese blockchain companies are focused on pure blockchain technology, while as many as 25,000 have purportedly tried to issue their own cryptocurrency or token.

The news comes amidst the recently sparked Chinese push into blockchain technology development, which was triggered by President Xi Jinping’s call to embrace blockchain in October. 

The push was accompanied by a renewed wave of pressure on local crypto-related businesses.  On Nov. 21, the PBoC's Shanghai unit announced it was taking action against entities allegedly involved in trading cryptocurrencies such as Bitcoin (BTC). On Nov. 22, authorities in Shenzhen province claimed that 39 exchanges fell afoul of China’s cryptocurrency trading ban.

State-led publications have emphasized that the country’s blockchain push should be limited purely to blockchain technology, and not include cryptocurrency-related initiatives.

More than 50% of blockchain enterprises are located in Guangdong province

The majority of such companies are located in the Guangdong and Shenzhen provinces.

Additionally, the report claims that the scales of the “black industry” associated with online fraud in China has reached 100 billion Chinese yuan ($15.6 billion.)

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

Ethereum cools off as miners book profits en masse, prices still look primed to rebound

Ethereum price reached $1,440 on Coinbase, a new all-time high before plummeting to a low of $1,234. It seems that ETH miners have been selling a lot in the past few weeks as their balances have dropped below 1 million ETH for the first time since the price hit $1,000.

More Ethereum News

Polkadot Price Forecast: DOT begins corrective downtrend towards $10

Polkadot had a massive run to its all-time high of $19.4 on January 16, reaching a market capitalization of $16 billion and placing itself as the 4th largest digital asset. DOT is still up by 60% in the past week despite the recent sell-off.

More Polkadot News

Ripple price could move to greener pastures as Pornhub adds XRP as a payment option

XRP has lost over 60% of its value since November 24, 2020, after peaking at $0.78. The digital asset plummeted after the SEC sued Ripple, alleging that the company sold illegal securities to investors. 

More Ripple News

Crypto enthusiasts' sentiment suggests Bitcoin price is far from a market top

Bitcoin price stalled after failing to break the resistance at $40,000. As reported earlier this week, JPMorgan & Chase strategists believe that BTC will retreat if it fails to hit levels above $40,000. 

More Bitcoin News

BEST CRYPTO BROKERS/EXCHANGES




Bitcoin Weekly Forecast: BTC price faces extreme volatility ahead of a new all-time high

Bitcoin had a wild run this week, dropping from a high of $41,350 to a low of 30,420 in less than 48 hours. 

Read the weekly forecast

BTC

ETH

XRP