Blockchain technology adoption rate in China continues to impress as the Bank of China has purportedly issues twenty billion yuan( 2.8 billion dollars) in blockchain based special monetary bonds for small and micro-enterprises.
According to Sina Finance, a local news outlet, in early December the funds are explicitly used to issue loans to these Chinese small and micro-sized firms to support their continued development within the economy.
The Bank of China, as of the end of September issued over 404 billion yuan(57.7 billion dollars) to 410,000 small and micro enterprise customers, representing a rise of 35 percent since a year ago.
According to a reference, micro-enterprises usually have fewer than ten workers, while small companies have up to fifty workers.
China and blockchain technology
The Chinese government is attaching an escalating level of significance to the digital economy.
Forkast Insights, the research arm of Asia- based Forkast earlier in December took a thorough and comprehensive look at how blockchain technology is combined in China.
The report identified that blockchain technology is quickly growing in China and contains a slew of “real-world, practical use cases that are far beyond the experimental stage.”
According to a report in November China’s blockchain development will see a compound annual growth rate of 65.7 percent from 2018 to 2023, the technology will exceed two billion dollars by the end of 2023.
China’s central bank to guide real-world pilot of digital yuan
In the mean time, China’s financial organization,the People’s Bank of China, goes full speed ahead to introduce a digital token to challenge the U.S. dollar. The bank is reaching to conduct the primary real-world tests of its financial organization digital currency. Before the end of 2019, the first pilot for the CBDC is set for the city of Shenzhen, and could also include the city of Suzhou.
Four major banks and economic participants like China telecommunications can reportedly check digital currency payments under the watchful eye of the People’s Bank of China.