Chinese Blockchain Initiative Signals Interest in Technology Amidst Strict Stance on Cryptocurrencies
Despite mainland China’s stringent stance against cryptocurrencies, including past crackdowns on the crypto industry in 2017 and 2021, the government’s newly launched blockchain initiative showcases the country’s interest in blockchain technology while maintaining a hostile attitude toward cryptocurrencies.
Investors Turn to Crypto Amid Economic Downturn
However, despite these regulatory measures, Chinese investors increasingly turn to the crypto market as a safer alternative amid economic downturns and a sluggish stock market. This has led to a thriving underground crypto industry, with mainland investors finding innovative ways to participate in crypto trading.
Tech Giants Making Strides in Web3 Space
As a result of these developments, the Chinese crypto market has witnessed a surge in activity, reflected in its global ranking in peer-to-peer trade volume, jumping from 144th place in 2022 to 13th place in 2023, as reported by crypto data platform Chainalysis. Chinese tech giants like Tencent and Huawei are also making strides in the Web3 space, leveraging their computing resources to support web3 startups, despite China’s ban on cryptocurrency trading.
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Also Read: Learn safe ways to buy cryptocurrency.
