With the latest clampdown on ICOs and cryptocurrencies by authorities in China, the blockchain has found a new home in southwest China.The tech is at the core of the digital money system, and has found new grounds in China. The capital of Guizhou, Guiyang, has been looking at the blockchain technology with a different eye. One that will enable the least developed region in China to use the blockchain to drive the growth of the local economy.
The blockchain has found a new home in the region because Guiyang has built a blockchain ecosystem and at the same time its providing blockchain firms with supportive policies. In 2017 Guizhou recorded a GDP of $55.9 billion owing to its least developed status. This notwithstanding, its capital, Guiyang, has 11.3% growth rate which is the highest in the nation.
To keep things rolling, they are home to about 1200 big data enterprises. A cool climate and a reliable hydroelectric power have played a huge role in attracting the enterprises. Among them include strong forces like Alibaba and Tencent with Apple Inc. announcing it will shift the control of its iCloud data storage services from mainland China to a Guizhou company.
As if the cool climate and a reliable hydroelectric power are not enough to lure blockchain companies. The government is offering subsidies of up to $789100 to blockchain companies looking to set up in Guiyang. Additionally, those companies offering symmetric, encryption, smart contracts and distributed ledger technologies will receive an additional $290402 as a reward.
To prove its commitment on the blockchain agenda, the blockchain ecosystem has 11 blockchain companies in Guiyang and an industrial innovation group that deals purposely with blockchain.
For those looking into entering the Guiyang blockchain, they have three points of entry. That is, they must be developing blockchain applications for the management of the government, business or and the public service sectors. For government management, the companies may develop the application to be used in the supervision of financial security and open data. Those interesting in the business sector should develop blockchain applications that can be used in logistics, SME credit information, invoicing among others. For public services, the Guiyang government is looking at the usage of the blockchain in smart transportation and building of personal data.
This is not the first time the blockchain technology is finding its way in China. Tech giants JD.com and Tencent are heavily relying on the blockchain to track their supplies. JD.com has partnered with IBM, Walmart and Tsinghua University to form the Blockchain Food Safety Alliance (BFSA) which ensures safety and transparency in the food supply chain.
Alibaba has partnered with Cainiao, a logistics company, for cross-border tracking of goods in a bid to fight counterfeits on its platform.
With these new developments its easy to see why blockchain has found a new home in southwest China.
Do you think the blockchain can do more? Let us know in the comments section.