China's deputy head of the State Administration of Foreign Exchange (SAFE), Lu Lei during a forum in Beijing announced that they are ready to expand the <a href="https://www.cryptoknowmics.com/crypto/a-comprehensive-guide-for-bitcoin-and-blockchain/">Blockchain</a> Pilot program to study foreign exchange regulations, <a href="https://uk.reuters.com/article/us-china-forex-blockchain/china-to-expand-blockchain-pilot-study-forex-reforms-for-cryptocurrency-regulator-idUKKBN1YS0GR?rpc=401&amp;">reported</a> Reuters. The plan is to integrate emerging fintech businesses with foreign exchanges to capture the evolving market.

China recently made its plan clear for accelerated adoption of blockchain technology, however, the crackdown on crypto service providers just weeks after the announcement confused the world on China's stance towards cryptocurrency. Right after the President's call for becoming the world leaders in blockchain technology, the state propaganda machinery bombarded the public with numerous articles praising blockchain technology. In the following days, the media house called Bitcoin the best use case of blockchain technology. But, the very next day it said that Bitcoin still has a certain limitation which the national digital currency would overcome.

China had banned foreign crypto exchanges back in 2017 and was planning to ban Bitcoin mining as well, but a lot has changed after the President's call. Lu explained their plans for expanding blockchain-based cross-border remittance services and regulating foreign crypto exchanges to boost the fintech industry. He said,
<blockquote>"We will gradually expand the scope of the pilot and the application scenarios of blockchain technology in cross-border financing and macro-prudential management. At the same time, (the government) will push forward a prospective study on foreign exchange reforms to deal with cryptocurrency and explore the construction of the foreign exchange regulation and technology system under the new situation.</blockquote>
SAFE's cross-border remittance system based on blockchain is currently the only platform registered with the Cyberspace Administration of China (CAC). The platform is currently available in 19 provinces and cities and given it is a state-run agency, it might become a leader in providing cross-border remittance and exchange services to the Chinese Fintech industry.

China Looking to Incorporate Regulations for Forex

China has decided to expand the application for its state run blockchain platform for cross-border remmitance and also incorporate Forex regulations

An engineering graduate, Prashant focuses on UK and Indian markets. As a crypto-journalist, his interests lie in blockchain technology adoption across emerging economies.

China Looking to Incorporate Regulations for Forex

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