China plans national blockchain network in digital push

China has called for a national blockchain network and an integrated computing power network in a policy document covering 19 measures to develop technology-led industries and connect the digital economy with real-world production.

Xinhua News Agency published the opinion issued by the Communist Party of China Central Committee and the State Council on Oct. 9. The document places the national blockchain network within a section on connecting the real economy and the digital economy, alongside manufacturing upgrades and national data infrastructure.

Under the opinion, authorities should improve rules governing who owns data, how it is traded, how rights are allocated, and how participants’ interests are protected. The policy also calls for pilot projects involving data as an economic resource, while directing improvements to the construction and operation of national data infrastructure.

China’s blockchain network plan sits alongside manufacturing upgrades

Within its digital economy provisions, the opinion calls for an integrated national computing network and a national blockchain network. The document also directs authorities to advance smart manufacturing, industrial internet projects and the East Data, West Computing program.

For industrial development, the policy proposes support for businesses adopting digital technologies and for companies supplying digital products and services. The opinion calls for internationally competitive digital industry clusters, with changes to the policy framework supporting both activities.

The same document proposes mechanisms to increase investment in future industries and share investment risks. Under its financing provisions, authorities should use existing fiscal policies and encourage sustained private capital investment in technology development.

Earlier Chinese policy has already addressed blockchain use in business finance. On April 6, crypto.news reported that the State Administration of Taxation and the National Financial Regulatory Administration had encouraged blockchain-based tax data sharing as part of changes to bank lending for small businesses.

According to the agencies’ notice, standardized information sharing between banks, tax authorities and businesses should help lenders assess borrowers. The agencies also recommended improving credit models and loan approval processes, with financing directed toward compliant, tax-paying enterprises.

Data-market proposals include cross-border flows

Beyond domestic infrastructure, the new opinion calls for an open, shared and secure market for data. Its provisions include exploring mechanisms for efficient cross-border data movement, alongside changes to ownership, transactions and protection of economic interests.

Regional authorities have separately proposed changes to cross-border digital finance. In a draft released on Aug. 6, Guangdong’s Department of Commerce included cross-border digital yuan trials in its free trade zone development plan for 2026–2030.

According to the department’s consultation document, the proposed measures cover additional digital yuan uses, offshore finance, green finance and financial technology trials. The draft also supports cross-border supply chain finance and lending secured by intellectual property.

For financial institutions operating within the zone, the Guangdong proposal includes trials involving cross-border credit asset transfers and multi-currency accounts. The department invited public feedback until Sep. 5 before reviewing submissions and completing the plan.

In payment infrastructure, Mobile Payment Network reported in July that ICBC’s Shanghai branch and ICBC Singapore had settled nearly 10 million yuan in import shipping fees through the upgraded Digital Currency Express platform. According to that report, the recipient received the digital yuan payment on the same day.

Digital yuan banking participation has reached 30 operators

On Aug. 17, the People’s Bank of China announced it had approved eight additional banking operators, raising the digital yuan network’s total from 22 to 30.

The central bank’s list included Ping An Bank, Hengfeng Bank, China Bohai Bank, Bank of Shanghai, Bank of Hangzhou, Huishang Bank, Bank of Changsha and Guangxi Beibu Gulf Bank. According to the announcement, the institutions had connected to the central bank’s digital renminbi system, with customer services dependent on completing business and technical preparations.

The PBOC linked the expansion to the 2026–2030 national planning period and said it intended to improve access to secure and convenient digital yuan services.

Under a separate PBOC framework introduced in January, verified digital yuan wallets became eligible to earn interest, while qualifying balances received protection under China’s deposit insurance system. The framework requires non-bank payment companies to maintain customer reserve funds entirely in digital yuan.

China’s crypto restrictions and US data rules remain relevant

For cryptocurrency businesses, Chinese regulators issued separate restrictions earlier this year. A February notice from the PBOC, the China Securities Regulatory Commission and other agencies extended oversight to stablecoins and tokenized assets.

According to the notice, issuing offshore renminbi-pegged stablecoins requires authorization. The agencies also maintained restrictions on virtual currency businesses and mining, including enforcement against operations presented as data centers that actually house mining equipment.

For American companies handling cross-border information, the US Justice Department’s Data Security Program establishes prohibitions and restrictions on certain transactions that provide countries of concern or covered persons access to sensitive American data. The department states that the program covers US government-related information and bulk personal data, including financial, health, biometric, and geolocation records.

Under the department’s rules, China, including Hong Kong and Macau, is designated a country of concern. The Justice Department’s final-rule fact sheet identifies that designation as part of the framework governing covered data transactions.

According to the department, the program took effect in April 2025, while requirements involving due diligence, audits, and certain reporting obligations became effective in October 2025.