China has announced plans to adopt blockchain technology to develop its national data infrastructure, which it aims to complete by 2029.
A guide released on Monday by the country’s top economic planner, the National Development and Reform Commission (NDRC), and two other authorities stressed that China’s data infrastructure development is still in its early stages, described as part of the country’s goal of creating a unified national data market.
The Role of Blockchain Technology
According to the guide, one of the most important pillars of the national data infrastructure will be blockchain technology. China plans to establish a standard data asset and transaction certificate structure supported by blockchain. This structure aims to increase the traceability and reliability of data transactions by supporting blockchain, encryption technologies and smart contracts.
Authorities said they encourage industries and local governments to actively experiment with developing new technological infrastructures such as blockchain networks and privacy-preserving computing platforms.
Crypto Ban Continues
While the Chinese government continues to ban cryptocurrency trading and mining, it has long supported permissioned blockchain applications that do not rely on cryptocurrencies. This approach follows a policy that embraces the benefits of blockchain technology and avoids decentralized token systems.
Huge Investments Are Being Planned
Projects to develop this data infrastructure are expected to attract about 400 billion yuan ($54.5 billion) in direct investment annually, Zhulin Shen, deputy director of the National Data Administration, said at a press conference on Monday. He added that a total of 2 trillion yuan ($272.7 billion) worth of investment is expected over the next five years.
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