On September 22nd, OKCoin Bihang (new name for OKCoin.cn) and Chinese Internet Finance Museum together held a meeting at Beijing, in the aim to distribute the ideas of blockchain technology and its implementation. OKCoin Bihang Vice President and chief researcher， Xinxing Duan, gave a presentation about blockchain technology and national digital currency. He looked back the history of currency’s medium, from the original physical medium to nowadays’ digital token, and analyzed the impact on the financial industry.
Chinese Internet Finance Museum
Blockchain not also has its inherent currency Bitcoin, but also be able to act as the role of Stock Exchange market and help the issuance and maintenance of physical assets, which gains massive attentions from financial institutions like Chinese Central Bank.
OKCoin Bihang is known as the largest cryptocurrency assets trading platform in China, its subsidiary, OKLink is a international remittance company using blockchain technology, which is seen as the real use case in China. OKLink is built upon blockchain technology, connect with medium and small global financial industrial participants, help reduce the cross border remittance cost and improve efficiency, enhance the experiences of international value exchanges.
In the meeting, Xinxing Duan pointed out that: Toward the currency revolution, digitlization is inevitable. We are still on the infant stage of digitlized currency, like online banking, third party payment, even the initial Tecent token called QQ coin which are the representations of digitlized currencies. But these mentioned online based digital currencies haven’t essentially upgraded current financial system, just increase the front end user experiences within the traditional financial framework. It means the front end user experience is not yet from genuine digital transportation system, but from digital information system. Among banks the procedures of clearance and settlement is still relying on information exchanges, with the processes of recording, trading, clearing, settlement, accounting, checking, then eventually value is transferred to the recipients. .
Xinxing Duan enphasized that, all of the revolution is led by the innovation, but the innovation must have disruptive power to replace old system, then new business models will be built up, like internet had led the establishment of e-commerce and O2O etc, eventually new financial framework will be rebuilt up. Blockchain based on distributed ledger firmly supports the underlying digital currency. There are some advantages of digital value transfermation, as like paying being equal to settlement, instant asset transfermation, unique shared ledger, time stamp records etc. This will increase the efficient circulation of currency, save the management cost and revolutionize the global financial market again.
The application of technology and actual implementation still need more tests and improvements, especially for national use. Xinxing Duan mentioned that our government is considering to build different concept of blockchain, not like that transparency and anonymity bitcoin’s blockchain has, some measures will be taken like the way “One Coin, Two databases, Three institutions”, which is partnership blockchain, authentive partipation.