The release of the white paper coincides with new digital asset regulations in Hong Kong, raising further interest in China’s stance toward the crypto industry.
Beijing’s municipal government has unveiled a white paper to foster innovation and advance the Web3 industry.
The “Web3 Innovation and Development White Paper” was revealed at the Zhongguancun Forum by the Beijing Municipal Science and Technology Commission, also known as the Administrative Commission of Zhongguancun Science Park. According to a local news outlet, The Paper, the document recognizes Web3 technology as an “inevitable trend for future Internet industry development.“
With the goal of establishing Beijing as a prominent global innovation hub for the digital economy, the commission plans to allocate a minimum of 100 million yuan ($14 million) annually until 2025. Yang Hongfu, the director of the Zhongguancun Chaoyang Park management committee, revealed the funding during the forum, highlighting that Zhongguancun is commonly recognized as China’s Silicon Valley.
According to reports, the white paper emphasizes Beijing’s intention to enhance policy support and expedite technological advancements to foster the growth of the Web3 industry.
Binance CEO Changpeng Zhao found the timing of the white paper release “noteworthy,” highlighting that Hong Kong’s cryptocurrency regulations are set to commence on June 1.
Last week, the Securities and Futures Commission of Hong Kong unveiled a new rulebook for the cryptocurrency industry, announcing retail investors will be able to engage in crypto trading starting from June 1, coinciding with the implementation of a new licensing framework for crypto platforms.
While the United States is currently cracking down on cryptocurrencies, Hong Kong’s efforts to attract crypto companies starkly contrast the U.S. approach. China banned the use of cryptocurrencies in 2021; however, with the release of the Web3 white paper, it appears that China is showing signs of opening up to the industry.
On May 23, a cryptocurrency segment aired on the state-owned China Central Television, prominently featuring the Bitcoin BTC $27,257 logo and a Bitcoin ATM in Hong Kong. Binance’s Zhao mentioned the significance of the coverage, as it historically correlated with market upswings. The segment also highlighted nonfungible tokens but has since been removed.