China always tries to apply everything new and be the first in every aspect. This recently developed technology has not been an exception. According to global market research, Alibaba Group Holding filed over 10% of all blockchain patents in 2017.
“Blockchain is a new technological landscape where it could be very profitable for Chinese companies to grab significant territory in their patent claim language. Holding several patents helps to give an aura of legitimacy that helps many companies in the blockchain field to attract investors or acquirers,” Taiwan-based IP specialist and Eiger Law partner John Eastwood commented.
If research conducted by Thomson Reuters is anything to go by, 56 percent (226 filings) of the world’s blockchain patents (406) was created in China last year. Just compare this figure with the distant one that the US has, in second place with 22 percent (91). Moreover, Alibaba, one of the largest Chinese e-commerce conglomerates, solely filed 43 patents, making it 10% of the world’s total number.
It goes without saying, China made an enormous leap in growth, given that only 134 patents were filed in 2016. That is an evidence of the country’s rapid development in intellectual property rights trend. Well, China is obviously a winner of this contest on an annual level. China doesn’t exceed the overall amount of fintech patents filed in the USA, however, it is fast making up for lost time.
It is not a surprise that China has a negative attitude towards the cryptocurrency market. The country’s government banned all digital currency ventures and ICOs earlier this year. Despite this, Chinese officials show a keen interest in the blockchain technology behind virtual coins. They believe it has the power to reshape the global economic structure.
The latest example of blockchain adoption in China became the Wuchang municipal government (Heilongjiang Province). The local authority partnered with Alibaba subsidiary companies Ant Financial and Alipay to restrict fraud in the food industry and enhance consumer trust. Besides, organizations use an Internet of Things (IoT) tracking solution together with blockchain in order to be sure that every pack of Wuchang rice has a supply chain that is accessible to clients via a QR code.