China Launches $54.5 Billion Blockchain Initiative by 2029

China has launched a major $54.5 billion blockchain initiative, aiming to establish a national public blockchain infrastructure by 2029. Spearheaded by central state-owned enterprises and managed under the guidance of the National Development and Reform Commission and the National Data Administration, the project emphasizes domestic blockchain development rather than global cryptocurrencies [1].

The initiative represents a continuation of China’s broader strategy to enhance technological self-reliance and control. Similar to past efforts such as “Made in China 2025,” this project focuses on building a regulated, national-level infrastructure for data governance and information flow. Key players include major telecom and infrastructure enterprises, which are expected to pilot and scale the blockchain systems. This reflects the government’s commitment to driving innovation through state-led investment and coordination [1].

Zhulin Shen, Deputy Director of the National Data Administration, noted that the project is projected to attract around 400 billion yuan ($54.5 billion) in annual investments over the next five years. This long-term financial commitment highlights the strategic importance of blockchain in China’s digital transformation [1].

While the initiative is expected to have far-reaching implications in the domestic market, its immediate impact on global cryptocurrencies like Ethereum (ETH) and Bitcoin (BTC) is considered minimal. The focus remains on building a regulated and secure infrastructure for national data governance, rather than competing with public, decentralized cryptocurrencies [1]. Analysts suggest that the primary benefits will materialize domestically, with potential ripple effects on global blockchain standards and innovation as the project matures.

The rollout is still in its early stages, and the full extent of the project’s influence on China’s economic and political landscape remains to be seen. However, the scale of investment and the involvement of central state entities signal a strong commitment to technological leadership. The project’s success could reinforce China’s position as a key player in the global blockchain ecosystem, particularly in the realm of regulated digital infrastructure.

Source: [1] China Initiates $54.5 Billion Blockchain Project (https://coinmarketcap.com/community/articles/688ff6cad921332cbcd2a285/)