According to decentralized data provider LongHash, more than 10,000 new blockchain companies were registered in China alone this year so far. Despite the impact of the ongoing global pandemic across most of the industries globally, the blockchain sector in China seems to be booming. The number of blockchain fresh registration figure is already third-highest in the country, only behind the previous two years. China has been leading in the number of blockchain firms as compared to other countries.
There are now 84,410 registered blockchain companies in China.
There are currently 84,410 registered blockchain companies in China, out of which, only 29,340 are operational. Most of these startups are concentrated in the country’s Southeastern province of the Guangdong Province, following the southwestern Yunnan Province. However, most of the Chinese blockchain startups had been set up with small capital as the report highlighted that most of these companies were registered only with 5,000 yuan. Some of these startups, however, has a registered capital of over 50,000 yuan. China is also all set to become the first major nation to issue its national digital currency dubbed DCEP.
The Chinese government encourages blockchain adoption.
Later last year, Chinese President Xi Jinping had said that China should take the lead in blockchain technology as he urged the country to “seize the moment.” Though China had banned cryptocurrency trading and initial coin offering in 2017, the blockchain industry showed no signs of a slowdown, rather it expanded significantly. Earlier this year, the Chinese government reviewed specialized blockchain development fund that proposed to encourage blockchain innovation, grow a variety of blockchain enterprises, and to cultivate several blockchain “unicorns.”
The most populated country in the world also recognized 224 blockchain projects involving some of the tech giants like Baidu and Walmart. The People’s Bank of China is closing in on issuing the centralized national digital currency.