Crypto News

China Government to Release Crypto Analysis Report

China Government to Release Crypto Analysis Report

China Government to Release Crypto Analysis Report

In a conference held in Beijing on May 11, the Chinese government announced that it would be publishing an independent analysis report on digital currencies and blockchain projects on a monthly basis.

The press release notes that China Electronic Information Industry Development (CCID), a department of Chinese Ministry of Industry and Information Technology will examine 28 virtual coins including market leaders like bitcoin, litecoin, ethereum, NEO, monero, ripple, QTUM, and Zcash. It was also informed that the ranking list of all the 28 cyber coins would be released in the coming days.

The official statement of CCID states, “First-rate domestic experts and scholars” will contribute to the project, which will be known as the ‘Global Public Chain Assessment Index.’ The index aims at evaluating “the technological capability, the usefulness of the application and the innovativeness of the project, [as well as the] development level of the projects to profoundly understand the trend of blockchain technology innovation.”

The decision taken by the Chinese government comes after Weiss, an international rating agency, released a controversial statement on major digital currencies like bitcoin, ripple, and ethereum.

Although crypto trading and mining are banned in China yet government’s decision can boost the popularity of virtual coins in the country.  It should be noted that CCID’s press release gives more attention to the technology behind digital currencies than virtual coins itself.

It notes, “This independent analysis of cryptocurrencies and global public blockchain technology demonstrates the confidence of the Chinese Government in the technology, and will act as a guide for government, enterprise and research institute.”

Earlier in this week, local media reported that Beijing claims to establish national standards on blockchain through a specific committee by the end of the year 2019. The committee has brought together various government agencies, and it would be known as the Blockchain and Distributed Accounting Technology Standardization Committee. However, the government has not pressured the committee to come up with miraculous solutions to advance the blockchain industry in the country.

In the similar news the largest mobile phone producer in China, Huawei Technologies Co. has announced that it is developing a Smartphone capable of downloading bitcoin in crypto wallets on the new device. As of now, bitcoin holdings and its usage to pay for goods are still legal in the country.

On the other hand, Yao Qian, director of the Digital Currency Institute at People’s Bank of China (PBoC) stated that the technology needs further attention and research before it can be applied on a regular basis. As being immature, it has not yet reached its full potential.

The Chinese authorities have been successful in employing blockchain technology in various sectors like shipping and Smartphone production. It has also registered the highest number of patents for the technology in the entire world. Digital currencies have failed to impress the authorities, but it seems like they have a keen look over its growth. Probably, neighboring countries will follow China’s steps as a report published by government holds greater authority and respect among masses.

About the author

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Brian Booker

An international financial analyst and writer. He has consulted for the Malaysian government, various MNC’s, and other organisations. He focuses on currencies, commodities, and emerging South East Asian markets.

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