Most of largest banks in China already use a blockchain

More than 70 financial services companies in China, including every state-owned bank and the largest technology companies, are implementing blockchain-based financial applications. ICBC is one of the largest state-owned banks. In a new white paper, she said that Chinese banks plan to use blockchain in areas such as trade finance, supply chain management, settlement, digital invoicing and other applications.

Data by Industrial and Commercial Bank of China (ICBC)

Four of China’s largest technology companies, Baidu, Alibaba, Tencent and JD, are also working on their own blockchain-based financial services applications. According to the paper, most of these blockchains will be based on permission.

The document also describes some specific applications in detail. For example, ICBC itself has built a cross-border trade settlement platform between China and Europe that uses DLT (distributed ledger) and smart contracts to verify and synchronize transportation information shared by companies, warehouses, customs, banks and government agencies.

According to white paper, banks and businesses in China use blockchain to manage funds, manage supply chains, issue securities and track customer loyalty points.

There are around 420 companies using blockchain, of which 17% are in finance. At the end of 2019, one hundred and twenty blockchain-based financial services projects were registered in the Chinese Cyberspace Administration, according to ICBC.

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