While China continues to face Cryptocurrency crackdown its love for blockchain technology is increasing by leaps and bounds. According to the latest research, the country currently dominates the emerging global blockchain technology sector with Alibaba Group Holding accounting for more than 10 percent of all blockchain patents filed worldwide in 2017.
Research by Thomson Reuters shows that amongst the 406 blockchain patents issued around the world in 2017, 56 percent of came from China and the United States stands as a distant second with 22 percent. The blockchain patent filings have witnessed a drastic rise from 134 in 2016 to 406 in 2017. Furthermore, the Nikkei Asian Review reports that out of the 406 blockchain patents issued in 2017, Alibaba alone filed 43, closely followed by Chinese tech giants like Tencent and Baidu.
Although the US currently leads in terms of an overall number of blockchain patents filed, China might soon close the gap and lead.
Aversion to Crypto
Earlier this year China exercised a total ban on all crypto trading and ICO fundraising. Auxiliary bans and online purges soon followed the announcement in an effort to enforce restrictions. On the flip side, Chinese authorities have open heartedly accepted the technology behind cryptocurrencies, Blockchain.
Xi Jinping, Chinese President described the blockchain technology as one of a new generation of technologies that is “substantially reshaping the global economic structure.” John Eastwood, Taiwan-based IP specialist, and Eiger Law partner explained China’s eagerness while speaking to the Nikkei Asian Review:
“Blockchain is a new technological landscape where it could be very profitable for Chinese companies to grab significant territory in their patent claim language. Holding several patents helps to give an aura of legitimacy that helps many companies in the blockchain field to attract investors or acquirers.”
Using Blockchain Application
last week, Local Chinese media reported that the Wuchang municipal government in China’s northeastern Heilongjiang Province has partnered Alibaba subsidiary companies Ant Financial and Alipay to use blockchain technology for the purpose of curbing food fraud and ensuring consumer trust.
Renowned for its unique high-quality rice, Wuchang faced several counterfeiting incidents that led to the loss of consumer trust along with massive effect on the livelihoods of farmers. The solution for the same was achieved by using an Internet of Things (IoT) tracking solution and a blockchain, which ensures that every pack of Wuchang rice sold on Alibaba’s Tmall platform will have a supply chain that is fully visible to consumers via a QR code.
Similar anti-food fraud projects are undertaken by Alibaba in Australia and New Zealand in partnership with PwC and the postal services in both countries. Concurrently, the company is partnering with the eastern Chinese city of Changzhou as it forays into healthcare space with a blockchain that will store medical data and enable an authorized health personnel instant access to patients’ complete medical histories.