The Application and Development of Blockchain Technology in the Financial Sector: Key Points from the 2020 Research Report

Recently, a research report on the application and development of blockchain finance in China was officially released. This 130,000-word report was compiled by industry experts over a period of six months, providing a comprehensive analysis of the development trends and application practices of blockchain technology in the global financial sector.

The report mainly includes five parts: the general report, the application scenarios section, the underlying platform section, the annual events section, and the appendix. The research team conducted in-depth research on 47 relevant institutions in China and their 112 blockchain application projects in the financial sector, summarizing the typical scenarios and basic logic of blockchain applications in China's financial sector, and analyzing the potential value and challenges faced by these application explorations.

In addition, the report also selected practical cases of Blockchain in supply chain finance, trade finance, insurtech, cross-border payments, and asset securitization, and provided detailed introductions to some underlying platforms. At the same time, the report also sorted out the hot events related to Blockchain in the financial field both domestically and internationally in 2019.

According to the report analysis, the current non-coin applications of blockchain in the financial sector mainly achieve three types of functions:

1. Information storage and transmission: including the storage, tracing, sharing, and verification of financial-related information.
2. Limited value transfer: such as point systems and their internal exchange functions.
3. Smart Contract Execution: Based on the multi-party verifiable automatic execution feature.

However, the application of blockchain technology in the financial sector still faces some challenges:

1. Technical aspects: It is difficult to fully meet the requirements of certain financial scenarios for security, functionality, and performance.
2. Governance: There is a need to further improve arrangements in areas such as regulation, standard formulation, and talent cultivation.
3. Business aspect: There are some gray areas, and there is a lack of authoritative third-party evaluations of innovative applications.

In response to these challenges, the report proposes the following recommendations:

1. Policy and regulatory aspects: Strengthen research tracking and formulate rules to promote compliant development.
2. Industry organizations: Build platform bridges and research standards to enhance cohesion.
3. On the institutional side: explore core technologies and promote the implementation of application scenarios.

This report aims to provide valuable reference materials for governments, enterprises, academia, and research institutions, guiding the compliant and secure application of Blockchain technology in the financial sector, thereby better serving the real economy and supporting the construction of a modern financial system.