China’s blockchain industry could nearly double in size by 2027 to $1.4 billion.
Wu Hai, CEO of the China Internet Investment Fund, made the prediction on Sunday, saying integration with artificial intelligence projects would help the Middle Kingdom’s blockchain sector grow 71% from its peak of $816 million in 2024.
Although this represents about a tenth of the estimated US blockchain market for the same year, Wu seemed confident that the sector is poised for explosive growth.
“Our investment efforts help the blockchain industry consolidate its core software and hardware foundations,” the CIIF chief told the Chinese company. Cailian Press. “We seek to promote high-quality development. »
This optimism comes years after Beijing cracked down on the crypto industry and as the US market was energized by President Donald Trump’s pro-crypto policies.
Wu said blockchain investors follow a two-pronged strategy.
The first is to create key infrastructure and application platforms. And a second focuses on integrated applications and “value scenarios.”
These scenarios include blockchain adoption campaigns in the government space, as well as in finance, culture and tourism.
AI-based help desk service platforms are also expected to adopt blockchain technology.
Wu said China’s blockchain investment, financing and industrial development have already yielded “significant results in terms of integration and application.”
This is especially true for the business and financial services sectors, he said.
And Wu noted that many Chinese blockchain companies were founded between 2017 and 2019, several years before their foreign competitors.
Wu added that last year, investments flowed into Chinese blockchain-based services, financial companies and agricultural projects.
But he said more than 90% of investors still support early-stage projects.
In 2019, President Xi Jinping called on the public and private sectors to “increase investment and accelerate the development of blockchain.”
Two years later, Beijing’s top policymakers included a comprehensive blockchain strategy in the country’s 14th Five-Year Plan.
However, crypto purges in China have forced most companies to focus on private solutions powered by a blockchain network.
As a result, many of the country’s largest blockchain players are most active in sectors such as central and local government, as well as administration.
But in recent years, telecom providers have launched 5G projects based on blockchain.
