What did Xi Jinping talk about on Oct. 24 that moved the cryptocurrency market?

The media outside of China writes and analyzes China's President Xi Jinping's speech given on Oct. 24 to the Central Politburo of CPC. The prices of Bitcoin and other cryptocurrencies jumped tremendously.

We put out this almost word-by-word translation of Xi's speech to give readers a clear picture of what he talked about exactly. Overall, Xi takes a pragmatic approach, emphasizing the importance of blockchain to China's economic and social development. He repeats several times to ensure that blockchain develops in a safe and orderly way. It is clear that Xi wants China to be a global leader in blockchain.


The Central Politburo of the CPC conducted the 18th collective study on the status and trends of blockchain technology development on the afternoon of October 24. Xi Jinping, general secretary of the CPC Central Committee, emphasized that the integrated application of blockchain technology is playing an important role in new technological innovation and industrial transformation and that China must take blockchain as an important breakthrough for independent innovation of core technologies, have a clear direction, increase investment and effort, focus on making breakthrough of some key technologies, and accelerate the development of blockchain technology and industrial innovation.

Chun Chen, professor at Zhejiang University and Academician of CAE (Chinese Academy of Engineering) shared his thoughts and suggestions of blockchain. He plays the role of an advisor to the Central Politburo.

Xi Jinping delivered a speech while presiding over the study session. He pointed out that the application of blockchain technology has extended to digital finance, IoTs, intelligent manufacturing, supply chain management, digital asset trading, and other fields. At present, major countries in the world are accelerating the planning and preparation for the development of blockchain technology.

China has a good foundation in the field of blockchain. We should accelerate the development of blockchain technology and industrial innovation, and actively facilitate integrated development of blockchain with that of economics and society.

Xi Jinping emphasized that China should strengthen fundamental research and enhance China’s original innovation ability, and strive to let China take the leading position in theory development and in innovation for the emerging blockchain, to gain new industrial advantages.

We should push forward collaborative research, accelerate the breakthrough of core technologies, and provide safe and controllable technical support for the development of blockchain applications.

We should strengthen the research on blockchain standardization so that we can have more say in the matter and set the rules globally.

We should speed up industrial development, take advantage of our extensive market and connect the chains of innovation, application, and value.

We should build a blockchain industry ecosystem, accelerate the deep integration of blockchain, AI, big data, and IoTs,, all these frontier information technologies, and encourage integrated innovation and applications.

We should put more effort into building a talent pool, establish and improve the talent training systems and build a variety of high-level talent platforms, and cultivate a group of leaders and top-notch innovation teams. Xi Jinping pointed out that China should seize the opportunities in blockchain technology integration, function expansion and further segmentation of the industry, and take advantage of blockchain technology to improve data sharing, optimize business processes, lower operational costs, improve synergy efficiency, and build credible systems.

We should encourage the deep integration of blockchain with the real economy, to solve such problems as difficulty in financing for SMEs, difficulty in banks’ risk control, and difficulty in regulating different departments. We should use blockchain to explore innovation in digital economy model, empower the creation of a convenient, efficient, fair and competitive, stable and transparent business environment, serve supply-side structural reforms and facilitate the connectivity of supply and demand in various industries, and provide support for shifting the growth model from old to new and a quality economy. We should explore the application of “blockchain+” in the field of people's livelihood, and actively promote the application of blockchain in the fields of education, employment, retirement, precise poverty alleviation, health care, anti-counterfeiting, food safety, public welfare, social support, etc, providing more intelligent, more convenient and better public services to people. We should promote the combination of the underlying technology of blockchain with the construction of smart cities, explore its application in the fields of information infrastructure, smart transportation, energy and power, and improve the level of intelligence and precision of urban city management.

We should use blockchain technology to facilitate greater inter-city connectivity in information, capital, talents, and credit information, and ensure orderly and efficient flow of factors of production within each region.

We should explore the use of the blockchain data sharing model to achieve the joint maintenance and utilization of government data across departments and regions, promote a synchronized way of operating businesses, deepen the “only need to visit government authority once to get things done” reform to bring to people a better experience of government services. Xi Jinping emphasized to improve the guidance and regulation of blockchain technology, strengthen the research and analysis of blockchain security risks, closely track its development, and actively explore its development laws. We should explore to establish a security guarantee mechanism for the blockchain technology, and guide and encourage blockchain developers and platform operators to conduct self-discipline and implement security responsibilities. We should implement the rule of law in the management of blockchain and promote a safe and orderly development of blockchain.

Xi Jinping pointed out that relevant departments and their leaders should pay attention to the status and trend of blockchain development, improve capabilities of blockchain application and management, and allow blockchain to play an increasingly important role in helping build China into a network power, develop digital economy, and empower the development of economy and society.

For the ).next post, we will provide a translation of the speech delivered to Central Politburo by Chun Chen, professor at Zhejiang University and Academician of CAE (Chinese Academy of Engineering).

For any inquiry, please contact insight@keeglobaladvisors.com