China's central bank is promoting the use of blockchain in trade finance soon after the president of the nation has called for technology adoption in many sectors.

In a joint statement with the Shanghai Trade Commission on Thursday, the branch of the People's Bank of China (PBoC) said the blockchain could resolve asymmetries in trade finance and bring authenticity to trade, according to Reuters. The blockchain also reduces the costs of commercial institutions, especially in the export and import markets, regulators said.

This joint statement comes two weeks after President Xi Jinping called on Communist Party leaders to "seize the opportunity" offered by blockchain technology, seeking a top-down implementation approach and extensive testing of its applicability to the world. Chinese economy.

The PBoC is currently developing its own digital yuan, which should be built at least partly with blockchain technology. Summer information on a launch date in November was recently canceled by a senior official, but the project is expected to go live shortly after development has been sped up by the announcement of the Libra project run by Facebook.

Image of the Chinese central bank via Shutterstock

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