China has outlined plans to establish a national blockchain network as part of a broader strategy to strengthen its digital economy and modernize industrial infrastructure.
The initiative appears in a policy document published by Xinhua News Agency on October 9, 2026, jointly issued by the Communist Party of China Central Committee and the State Council.
The document introduces 19 policy measures aimed at developing technology-driven industries and improving connections between digital systems and physical production.
Alongside the blockchain initiative, authorities called for an integrated national computing power network and improvements to the country's data infrastructure.
The proposal also addresses data ownership, trading rights and economic protections, reflecting Beijing's efforts to establish clearer rules for using data as a productive resource.
However, the document does not specify a launch date, technical architecture or funding allocation for the proposed blockchain network.
Blockchain Infrastructure Supports Industrial Modernization
The national blockchain initiative forms part of China's strategy to integrate digital technologies into manufacturing and industrial operations.
Authorities want to accelerate smart manufacturing, expand industrial internet applications and continue developing the East Data, West Computing program.
That initiative aims to distribute computing workloads across different regions, connecting areas with substantial computing resources to major centers of economic activity.
The latest policy also encourages businesses to adopt digital technologies while supporting companies developing software, infrastructure and related services.
China intends to establish internationally competitive digital industry clusters, supported by investment policies designed to attract private capital.
The government also proposes mechanisms to share financial risks associated with emerging technologies.
These measures position blockchain as one component of a larger industrial modernization strategy rather than a standalone cryptocurrency initiative.
China Targets Data Trading and Cross-Border Connectivity
Another major objective involves establishing a secure and accessible national data market.
The policy calls for clearer rules governing data ownership, commercial transactions, rights allocation and protections for participating businesses.
Authorities also plan to explore mechanisms supporting efficient cross-border data transfers, although specific implementation requirements remain undefined.
China has already encouraged blockchain applications in financial services.
In April, regulators recommended blockchain-based information sharing between banks, tax authorities and businesses to improve credit assessments for smaller companies.
Separately, Guangdong authorities proposed expanding cross-border digital yuan applications within the province's free trade zones.
Those proposals include digital payments, supply-chain financing and additional financial technology trials.
The developments demonstrate how China is pursuing blockchain infrastructure alongside regulated digital payment systems.
Digital Yuan Network Expands to 30 Banks
China's blockchain plans emerge as its central bank continues expanding the digital yuan, the country's central bank digital currency.
In August, the People's Bank of China approved eight additional banking operators, increasing the number of participating institutions from 22 to 30.
New participants included Ping An Bank, Bank of Shanghai, Bank of Hangzhou and several regional lenders.
The expansion supports wider access to digital yuan services during China's 2026–2030 national planning period.
Earlier regulatory changes also allowed eligible verified digital yuan wallets to earn interest, while qualifying balances received deposit insurance protection.
The central bank has additionally strengthened requirements for payment companies handling digital yuan customer funds.
Blockchain Expansion Does Not Reverse Crypto Restrictions
Despite supporting blockchain development, China continues to restrict private cryptocurrency activities.
Regulators reinforced restrictions in February 2026, extending oversight to stablecoins and tokenized real-world assets.
The rules maintain prohibitions affecting cryptocurrency businesses and mining while requiring authorization for certain offshore yuan-pegged stablecoin activities.
Consequently, the proposed national blockchain network should not be interpreted as a reversal of China's cryptocurrency restrictions.
Instead, the government is prioritizing regulated digital infrastructure, industrial applications and state-supervised financial technology.
The October policy represents another step toward integrating blockchain into China's broader economic infrastructure, although implementation details have yet to be announced.
