China's State Media: Blockchain Needs Regulation to Grow

A newspaper that serves as the mouthpiece for China's government is arguing that blockchain needs regulation before it can be better utilized.

AccessTimeIconFeb 26, 2018 at 5:00 a.m. UTC
Updated Sep 13, 2021 at 7:36 a.m. UTC

People's Daily, an official newspaper of the Chinese Communist Party (CCP), is calling for domestic regulation as part of an effort to foster the development of blockchain technology.

In a full-page feature entitled "Three Questions to Blockchain" published Monday, the CCP's official media doubled down on the government's commitment to supporting the use of the technology, while also warning about the growing risk associated with some of its use cases.

The report reads:

"Blockchain technology is still very immature. We must be cautious about speculation on this concept and separate technology-based innovations from those with a fund-raising purpose. In order to better promote and utilize the blockchain technology, the government should implement strengthened policies and regulations."

The article further gives elaborate explanations on blockchain's applications in various industries such financial services, charity, anti-counterfeit and financial regulation.

It marks a notable move by China's official mainstream media to bring blockchain to the public's attention while staying in line with the country's central bank, the People's Bank of China, which has ordered a ban on domestic initial coin offerings.

In an interview with the People's Daily, Hu Danqing, a technology product specialist from Alibaba's Ant Financial Service said: "Most of the current blockchain hype is focusing on fundraising and speculation instead of genuinely solving real-world problems with the blockchain technology."

Hu further suggested that regulators should be more proactive in stepping up its efforts to initiate frameworks that help the public to distinguish technology innovations from those with a fund-raising substance.

People's Daily Online image via Shutterstock


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Learn more about Consensus 2024, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to to register and buy your pass now.