China builds cross-border finance blockchain platform

China has established a digital finance service platform to leverage blockchain technology to spur the development of a China-Europe cargo train service.

A China-Europe freight train bound for Kazakhstan prepares for departure at Xi'an International Trade & Logistics Park in Xi'an, northwest China's Shaanxi Province, Aug. 11, 2021. (Xinhua/Zhang Bin)

The one-stop platform, launched by the country's State Administration of Foreign Exchange in June, provides services like financing application and credit extension, Liang Hong, an official of the Xi'an branch of the People's Bank of China, told a press conference Wednesday.

As of Wednesday, a total of 30 enterprises from industries such as logistics and cross-border trade had secured fund support worth 1.25 billion yuan (about 194 million U.S. dollars) thanks to the platform, Liang said.

As blockchain technology excels in verifying data authenticity and repeat loans, the platform aims to improve banks' abilities to prevent and control credit risks, develop more credit products, and reduce financing costs for enterprises.

Liang added that efforts would be made to propel the platform to facilitate more enterprises and encourage banks to launch customized financing and settlement products in line with demands from firms in the industrial chain of China-Europe cargo trains.