Blockchain in risk management
Lu Lei, Deputy Head of China’s Foreign Exchange Regulatory Authority (SAFE), said there are plans to use Blockchain and AI for cross-border financing. Special attention will be given to risk management applications.
Lei noted that SAFE promotes the application of Fintech and AI to international finance and macroprudential management.
His drive for innovation is in line with statements by Chinese President Xi Jinping, who recently urged the country to accelerate the adoption of blockchain technologies as the core of innovation. Lei also highlighted the importance of risk management:
“We need to pay special attention to the rapid development of Digital Finance and Fintech. […] If we are not quite sure where a (new) form of business is heading, we have to pay attention to risk management.”
The opening up of the financial sector is advancing
According to Lei, risk management is based on an efficient financial infrastructure. He also promised to open up Chinese capital markets, including bonds, and consolidate investment channels for foreign investors.
As Cointelegraph reported yesterday, the Standing Committee of the 13th National People’s Congress in China passed a new “crypto law” on 26 October that will come into force on 1 January 2020.