The research record carrying the title “The Blockchain Report 2020,” was released on March 11. It pointed out that in 2015, agreement from the US-based firms represented 51% of blockchain technology growth.
Relatively, China-headquartered enterprises accounted only 2%. Nevertheless, the balance has tilted in favor of China.
Data shows that last year, the percentage of agreements signed by the US based firms declined to 31%.
In the same year, China’s market share increased to 22%, enabling the country to cement its position as a leader in the blockchain domain.
Tomer Weiss, co-founder and head of partnerships at Upright, detailed the growth of Chinese firms in blockchain technology sector:
“I think that China sees the potential of blockchain for enterprises to understand better, track and get an insight about the financial activity of individuals and business since the announcement of Xi [Jinping] about blockchain, there are a lot of investments.”
Citing blockchain, Xi Jinping, China’s President, advised expediting blockchain adoption while giving a speech on October 24, 2019. While speaking at the Politburo Committee session, Chinese premier detailed blockchain technology trends.
“We must take blockchain as an important breakthrough for independent innovation of core technologies, clarify the main directions, increase investment, focus on a number of key technologies, and accelerate the development of blockchain and industrial innovation.”
Weiss explained that several blockchain linked investments in China are focused on enterprise adoptions and government framework. Significantly fewer amounts are being invested for creation of client-facing DeFi solutions.
Weiss additionally opined the following regarding crypto venture investments:
“Investors think that maybe it’s not the right timing to bet on DApps, wallet or DeFi – and regulation indeed is a major reason for that.”
The CB Insights document also decides that Bitcoin has characteristics of a risk-on asset and therefore cannot be construed as a store of value.
Nevertheless, in spite of market rout, the study guarantees that firms will continue to develop and roll out products aid the advancing blockchain sector.