The Blockchain Services Network (BSN) is working on compliance solutions for Chinese developers while integrating more decentralized chains in its international network. Two digital yuan trials were announced; Suzhou’s second and Beijing’s first. Investments in cryptocurrency mining continued as Bitcoin prices begin to climb again.

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The world of blockchain moves fast, and nowhere does it move faster than China. Here’s what you need to know about China’s block-world in the week of Feb. 2-9.

BSN powers on

  • Big Four accounting and consulting firm Ernst & Young will provide compliance and audit solutions to developers on the BSN, a state-backed “internet of blockchains” platform. Two of the firm’s blockchain products, OpsChain and Blockchain Analyzer, will be available to developers using Ethereum or FISCO BCOS to build their applications on the BSN. (EY press release)
  • The BSN will add a permissioned version of inter-chain protocol Cosmos to Chinese network. (Ledger Insights)
  • The network’s international version is adding three public chains.

READ MORE: EXCLUSIVE: International BSN to add Casper, NEAR, Findora

Digital yuan

  • Beijing announced its first lottery to distribute RMB 10 million ($1.5 million) of the digital yuan. The lottery is one of a number of ongoing trials preceding the digital currency’s launch. (Beijing News official Weibo, in Chinese)
  • Suzhou announced a second lottery to distribute $4.6 million in digital RMB red envelopes. The funds will be provided by e-commerce giant JD.com. (TechNode)

The mining

  • Authorities in Sichuan visited cryptocurrency mines between Jan. 15 to 30. The local government is cracking down on mines operating in legal gray areas, and encouraging larger compliant mines to tap into the region’s abundant cheap hydroelectric power. (Wu Blockchain Twitter)
  • Chinese mining pool Poolin acquired North American pool NovaBlock, increasing its total hashrate to 23 exahash per second (EH/s) and solidifying its position in the top three Bitcoin mining pools. (NovaBlock press release)
  • Chinese US-listed sports lottery provider 500.com will buy an additional 5,900 cryptocurrency mining machines for RMB 55.2 million. The online lottery provider announced in January the purchase of $14.5 million worth of Bitmain and MicroBT rigs. (500.com statement)

Top 6 Chinese blockchain firms

Six Chinese companies were among a list of 50 top blockchain companies in the world according to Forbes: Ant Group, Baidu, China Construction Bank, Industrial Commercial Bank of China, Ping An insurance, and Tencent. (Forbes)

The unlikely commentator

Gene Simmons, the bassist for world-famous rock band KISS, said that he believes China is behind the US Securities and Exchange Commission lawsuit against Ripple, in an appearance on a podcast hosted by news site Bitcoin.com. In December 2020, the US SEC sued the cryptocurrency for selling $1.3 billion in unregistered securities. (Bitcoin.com)

Eliza Gkritsi

Eliza is TechNode's blockchain and fintech reporter. When she isn't obsessing over the rise of distributed ledger technology in China, she helps with editing.