A Chinese regulatory exec has laid out the opportunities of Web3, calling it the future of the internet, in an article published in China Finance on Thursday.
“The Internet is now at an important point in the evolution of Web2.0 to Web3.0. Strengthening the forward-looking research and strategic prediction of Web3.0 is undoubtedly of great significance to the construction of China’s future Internet infrastructure”, Yao Quan, director of China Securities Regulatory Commission Technology Supervision Bureau, said in the article.
Yao said Web3 addresses many flaws of Web2 platforms and systems, and cited the potential of Web3 to improve user-centricity, autonomy, and transparency, and to “establish a new relationship of trust and cooperation”.
He added, however, that the construction of Web3 “needs to be standardised and guided by the top-level design of the country and a governance framework that combines leniency and strictness”, highlighting five key areas for a development strategy:
- Build high-quality distributed infrastructure.
- Promote well-governed technological innovation.
- Establish common standards to enhance interoperability.
- Establish clear and fair taxation rules.
- Establish a legal framework for DAOs
China banned bitcoin trading in 2013 and prohibited cryptocurrency exchanges in 2017. Mining activities have also been progressively targeted over the years, with the government citing environmental concerns. However, the country remains bullish on blockchain technologies, though not the decentralisation that comes with it.
“They recognise the promise of the technology, but want to mitigate the risks by implementing a solution of their own”, Elliptic APAC senior policy advisor Tung Li Lim previously told Bread News about the country’s crypto ambitions.