China Unveils New System To Regulate And Verify Blockchain Payment Products

The Central Bank of China has announced a new verification method that will now be used to verify different types of financial technology innovations including software and hardware, which are to be commonly applied by various institutions, for digital payment and blockchain offerings as well.

Dubbed the Certification of Fintech Products, the system is looking to use this as a way to guide but also regulate the growing blockchain technology atmosphere in the country. At the moment, there are already 11 different fintech offerings that the central bank is considering and they include different things such as application software, point-of-sale blockchain integration, security chips and other devices, digital payments, and so on. If products meet the central bank’s strict criteria, they will then be certified. However, the certification will only last for three years, after which a review must be done and the certificate renewed.

Recently, there has been a bit of news from China in the blockchain department. A few days ago, President Xi Jinping urged the country to fully embrace blockchain technology and actively exploit all of its possible uses. Currently also, China’s Cyberspace Administration has unveiled more than 500 different projects in the country that use blockchain technology and have officially been registered.

In addition, a new cryptography-focused law has been passed by the Chinese Congress, seeking to regulate the industry. The law also seeks to make sure that no entity uses blockchain technology to undermine the government at any time.

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