China added 10,000 blockchain-backed startups in 2020

on Aug 12, 2020
  • The Chinese government will invest more than $2 billion in blockchain technology by 2023.
  • Most of the registered blockchain companies are operating under the capital of almost 5,000 Yuan.
  • The blockchain sector in China is booming despite the COVID-19 pandemic.

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While the world is trying to recover from an economic crisis amid COVID-19. China is determined to fight back against all odds. Especially the blockchain sector in China set a record in terms of the highest number of blockchain startups registered in 2020.

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LongHash, a decentralised data provider revealed on Twitter that over 10,000 blockchain firms were registered in 2020.

China is supporting the newly established blockchain companies to dominate the evolving digital era.

The report further suggests that China has shown substantial growth in the blockchain sector. The current number of blockchain-oriented firms surpassed the total number of blockchain companies in 2017.

According to LongHash, China is set to surpass the total number of blockchain firms registered in 2018. Almost 18,500 blockchain startups were added in 2018.

The highest number of blockchain companies are operating in Guangdong Province in Southeast China. It has 25,371 blockchain firms while the Yunnan Province in the Southwest ranks at the second position with 2,174 blockchain companies. Reportedly, 29,340 blockchain companies are in function out of 84,410 registered firms.

China’s plan towards blockchain adoption

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Although China banned initial coin offering (ICO) and cryptocurrency trading in 2017, the blockchain sector has shown significant development.

The Chinese authorities are determined to cultivate blockchain unicorns out of newly established startups. Recently, China approved 224 blockchain-based ventures proposed by tech giants like Walmart, Baidu, and JD.

Chinese President Xi Jinping spoke about the significance of blockchain technology and announced its development plan. The Chinese government will invest more than $2 billion in blockchain technology by 2023.

Blockchain technology