China accounts for 84% of all blockchain patent applications, but there’s a catch

China accounts for 84% of all blockchain applications filed globally, according to the latest data shared by the country’s government official.

China shunned the cryptocurrency market. However, the Beijing government has backed the underlying blockchain technology. The country has actively promoted the use of blockchain technology over the years, so the high percentage of blockchain patents is not surprising.

President Xi Jinping has also played a key role in promoting the nascent blockchain technology. In 2019, the President called on citizens, technology companies and ecosystem stakeholders to actively participate and innovate with the emerging technology as it would play a key role in shaping the future of the next industrial revolution.

As Cointelegraph reported earlier, Chinese companies had filed 4,435 blockchain patents within a year of President Xi Jinping’s industry approval. According to another study, China accounted for around 60% of blockchain patent applications worldwide from 2015 to June 2021, followed by the United States and South Korea.

The figure was released on Tuesday by Wang Jianwei, deputy director of the Ministry of Industry and Information Technology. However, the figures did not include a time frame in which these patent applications were filed.

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While China accounts for the highest number of blockchain patent applications, the approval rate is very low, with only 19% of total applications filed approved, the South China Morning Post reported.

Another important thing to note here is that China is not very committed to decentralization, the same principle on which blockchain technology is based. This is evident from the development of the country’s digital yuan, where the central bank developed the national digital currency on the curated version of a blockchain with full control over its operation rather than using the traditional distributed network approach.