China’s tax and financial regulators have called on banks and local authorities to adopt blockchain technology and privacy computing to improve lending services and expand financing for small businesses. The State Administration of Taxation and the National Financial Regulatory Administration issued a joint policy notice urging standardized data sharing to reduce information asymmetry between tax authorities, banks, and enterprises.
Blockchain to Improve Credit Efficiency and Financing
The directive encourages banks to strengthen credit models, enhance approval efficiency, and increase financing supply to “honest, tax-paying enterprises.” This push aligns with China’s broader strategy to integrate blockchain into national data infrastructure. A roadmap released by the National Development and Reform Commission in January 2025 targets nationwide blockchain implementation by 2029.
Shen Zhulin, deputy director of the National Data Administration, stated in January 2025 that blockchain-based data systems are expected to attract about 400 billion yuan, or roughly $58 billion, in annual investments.
China Balances Blockchain Growth With Crypto Restrictions
China has promoted blockchain innovation while maintaining strict controls on cryptocurrency trading. President Xi Jinping described blockchain as a key breakthrough technology in October 2019, encouraging wider adoption. Despite banning crypto mining and transactions in September 2021, China still accounted for 11.7% of global Bitcoin hashrate in January 2026.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.