An overview of what is happening in the crypto markets, summarised daily by Crypto Finance AG Senior Trader Patrick Heusser in the market commentary.
China's technology sector continues to advance
China seems to be in the lead once again when it comes to implementing new technologies and concepts that handle and/or administer their government.
You might recall that we wrote a bit about BSN (Blockchain Service Network) on June 17th. Last week, Beijing released a 145-page document outlining its vision for utilising blockchain to create so-called "programmable government affairs". Find the report here (only in Mandarin).
Matthew Graham, who is on the ground in China, has written a short but crisp summary of this document.
0) Last week the Beijing municipal government released a 145 page document outlining its vision for utilizing blockchain to create a "programmable government". We read the doc so you don't have to. Here's what's important. THREAD pic.twitter.com/VV2hnrCasz
— Matthew Graham (@mattysino) July 22, 2020
His report really ties in with my view, in terms of where I believe the entire development is headed. But the sheer speed of the Chinese government amazes me.
This document on programmable government affairs focuses on three topics:
1.The construction of blockchain digital gov trusted infrastructure. This construction of blockchain and underlying shared blockchain platforms should be accelerated to avoid mutual isolation and dispersion between BC systems and the formation of new "data" and "value islands".
2. Achieving trusted sharing + exchange of data. Clarifying the resp. and rights of data sharing, building a big data service network and value network. Ensuring authenticity and credibility of data with a traceable footprint. Promoting joint maintenance and utilisation across depts + regions.
3. Deepening BC-based gov service business synergy, deepening pilot projects, implementing specific business apps in different fields. At the same time, promoting integration of industrial and government big data, and enhancing the connection between economic information and social information.
Yes, I know... I already hear all you privacy fanatics out there yelling that you consider this direction of development a continued increase of surveillance of citizens. I can't really argue against this but I do believe that it will also provide a government administration office great efficiency. And that will result in cost savings, and, hence, free up budgets for more important things than just paying salaries - for (mostly) unproductive government employees.
Obviously, the size of the country plays an important role in terms of the efficiency argument. China is predestined due to its size and the number of its citizens. But when I think of a union such as the EU with its many local governments and different languages, the efficiency effect could be immense.
And just as a quick reminder: CBDCs will play a central role in "programmable government affairs". I really feel strongly that what we are experiencing right now is a shifting of a tectonic plate. No eruption yet, though.