“Decentralized but centralized”: China wants to change the nature of Blockchain

China is awash in the words of the regulator, who thinks that blockchain technology functions more effectively when built on a centralized system.

Chinese Securities Regulatory Commission (CSRC) Information Center Manager Zhang Ye said on Sunday that the government’s blockchain technology

However, Zhang also stated that more research needs to be done to create a decentralized Blockchain on a centralized basis, and continued:

Technical From the point of view, it is not legal at the moment for Blockchain to be absolutely decentralized because Blockchain itself is software and software must be centralized. Therefore, it needs more work on how to build a decentralized system based on a centralized structure.

China is not shying away from Blockchain technology

The regulator is saying that some Blockchain applications He said that it may require localization. However, he did not elaborate on how these scenarios should be limited and which applications should be centralized and not centralized.

Zhang:

Of course, some applications need to be decentralized. However, whether all scenarios should be decentralized or not needs to be carefully considered.

As can be seen from Zhang’s comments, China is trying to decide with great contradictions whether to take advantage of Blockchain technology under these circumstances. While China seems to be quite against cryptocurrencies and ICO projects, it is also wary of Blockchain technology.

Ccn