The head of the technology department at the People's Bank of China (PBoC) called on commercial banks to adopt blockchain technology in digital finance.

According to Reuters, the head of the bank, Li Wei, said Monday at a forum in Shanghai on the adoption of commercial banks.

The central bank is already developing its own digital yuan, which should be launched soon. The potential launch of Libra's cryptocurrency payment network, led by Facebook, prompted the PBoC to accelerate its work on digital currency.

Li Wei's comments closely follow the Chinese president and general secretary of the Communist Party Xi Jinping, who on Friday called for the widespread adoption of the blockchain in China.

"(We need to) clarify the main focus, increase investment, focus on a number of key core technologies and accelerate the development of blockchain technology and industrial innovation," Xi said.

In parallel with a 16% jump in the price of bitcoin over the weekend, Chinese technology stocks related to the blockchain jumped following comments by Xi. According to Bloomberg, Shenzhen's information technology index jumped 5.3% on Monday, as dozens of companies exceeded the daily limit of 10% ashore.

Yuan image via Shutterstock

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