What ICOs means for, then what VC Firms Care For?

The venture capital industry is beginning to take a good, hard look at a new financial instrument coming out of the bitcoin community — Initial Coin Offerings, or ICOs. Also known as “token sales” , this new fundraising phenomenon is being fueled by a convergence of blockchain technology, new wealth, clever entrepreneurs, and crypto-investors who are backing blockchain-fueled ideas. ICOs present both benefits and disadvantages, as well as threats and opportunities, to the traditional venture capital business model.

Here’s how an ICO typically works:

 A new cryptocurrency is created on a protocol such as Counterparty, Ethereum, orOpenledger, and a value is arbitrarily determined by the startup team behind the ICO based on what they think the network is worth at its current stage.

Then, via price dynamics determined by market supply and demand, the value is settled on by the network of participants, rather than by a central authority or government.

Venture capitalists, who generally have been standoffish to the ICO phenomenon, are now becoming more interested in it for a number of reasons：

• For the profits.

 Cryptocurrency investors made some massive returns in 2016, with cryptocurrencies from Blockchain startups Monero and NEM both seeing 2,000% increases in value. For example, the cryptocurrency used for the Ethereum network, called Ether, saw its value double in just a few days in March 2017. Yes, in three days, people who invested in Ether doubled their investment. Those investors can opt to cash out to a fiat-backed currency, or wait for the cryptocurrency to continue to rise (or fall). Volatility is a two-way street. While the price of Ether has been rising, Bitcoin has dropped 20% to $1,000 dollars from a record $1,290 on March 3, 2017.

• For the liquidity of cryptocurrencies.

 Rather than tying up vast amounts of funds in a unicorn startup and waiting for the long play — an IPO or an acquisition — investors can see gains more quickly, and can pull profits out more easily, via ICOs. They simply need to convert their cryptocurrency profits into Bitcoin or Ether on any of the cryptocurrency exchanges that carry it, and then it’s easily converted to fiat currency via online services such as Coinsbank or Coinbase.

What traditional investors don’t like about:

• Uncertainty of the regulatory;
• High valuations and over-capitalization;
• Lack of control over financials, strategy, and operations;
• Lack of business use-cases.

 And like any industry, the ICO arena has had its fair share of outright scams, pump and dumps, and blatant Ponzi schemes. However, much of the criminal activity is now being mitigated by self-organized, crowdsourced due diligence in the community, as well as by external parties such as Smith and Crown, a research group focused on cryptofinance, and ICO Rating, a ratings agency that issues independent analytical research on blockchain-based companies.

The CEO Gao Hang of Shuqin Tech, first had contact with Blockchian when read the paper of Satoshi Nakamoto. And based on the previous professional habits, he confirmed that the blockchain technology would play great role in financial or non-financial fields. Bitcoin, is a new Internet currency system without the third party credit intermediary, then to build the marcreconomic model for the world. And Baoquan.com, the first product of Shuqin Tech, the core service is for the trustworthy electronic certificate.

For more detail solution:

https://www.baoquan.com/en/

Future\Perfect Lab Launches Blockchain Project

Future\Perfect Ventures’ Jalak Jobanputra, a veteran venture capitalist and an early champion and investor in some of the world’s fastest growing Blockchain start-ups, is launching a Lab that will drive innovation and foster ventures built on Blockchain and decentralization, with an emphasis on the intersection of  transformative technologies such as IoT, Artificial Intelligence and Security.

The Future\Perfect Lab launches at a time of unprecedented demand among public and private enterprise to learn, experiment and apply the principles and ideas from ground-breaking and promising Blockchain, expected to be a $7.74 billion market globally by 2024 (Grand View Research), which together with other distributed technologies is predicted to drive exponential growth in an already $2 trillion mobile and cloud-based economy.  In addition, the Lab seeks to harness cross-disciplinary talent and resources to deliver solutions and unlock opportunities related to decentralized connectivity, including new cryptocurrency such as Bitcoin and Ethereum, in a climate of heightened global security concerns.

“I see Blockchain as more than a technology; it is a movement.  The concept of decentralized connectivity and transactions is spawning transformative ideas that are already rapidly enriching and enhancing the societies, economies and cultures of people around the globe, and I believe it will create a 10X growth impact on the already sizable mobile and cloud-based tech market,” said Jobanputra  “We’re aiming to satisfy the enormous appetite among business, policy-making and academic circles for a constructive environment to experiment and deploy these ideas.  At launch, we have as a bedrock the benefit of tremendous talent, participation, ideas and applications from Future\Perfect’s portfolio companies.  Our mission with the Lab is to harness this talent and these movements to unlock big ideas, build secure, inclusive and frictionless technologies and then apply them in profound ways that will improve how we live and work, create, govern and transact.”

Shuqin Tech launched Blockchain project early in 2013, which has many years developing experience in such field,and have made certain effort on the aspects such as blockchian infrastructure, consensus algorithms, digital assets exchange, trustworthy electronic certificate, etc. And the first product Baoquan.com was born in 2016, providing the e-data attestation service platform for enterprises and personal users. The Trustworthy Electronic Certificate service + Blockchain as a Service platform + big data has become the main engine of Shuqin’s development.

For more detail solution:

https://www.baoquan.com/en/

Shuqin Tech: The trustworthy electronic certificate service platform starting from judicial and financial field

Before start his own business, Gao Hang has worked for government for many years, as well as the years of working experience in tax fields. He first had contact with Blockchian when read the paper of Satoshi Nakamoto. And based on the previous professional habits, he confirmed that the blockchain technology would play great role in financial or non-financial fields. Bitcoin, is a new Internet currency system without the third party credit intermediary, then to build the marcreconomic model for the world.

In 2013, Gao Hang with several buddy jointly set up Yibite, and set the goal of the first digital currency institute, due to the unclear mode and direction, as well as the industry is at a very early stage, even developed about 17 sub projects, all failed. However, such experience took great help to the subsequent entrepreneurship, he started to join the Internet finance field, and set up the first Blockchain financial assets transaction platform——Zjmax.  The success of Zjmax, which make him saw the great value of  Blockchain application, then Shuqin Tech was been built and provide the trustworthy electronic certificate service.

 Baoquan.com, the first product of Shuqin Tech, the core service is for the trustworthy electronic certificate.

He said, the pain point for Internet is the trusty, but the government managemen’s effort still in the verifying condition, the system construction that only rely on the verifying is very difficult to meet the problem. When we enjoy the confinience of Internet, also need to bear the Internet privacy violations; when we enjoy the transparency of Internet, also need to meet the information asymmetry of Internet. Therefore, Baoquan.com using blockchain technology to solve the problems of proorf, trust and truth, hope to be an entrance to the value Internet.

 During the developing and marketing process, there are two core pain points:

•  Blockchain is a distributed solution, but how to stack up with the existing centralized system?

Obviously, the centralized system is impossible to be replaced completely, thus finding the improved ways to achieve “Blockchain+” is a more realistic way. Baoquan.com is the middleware between Blockchain and the centralized system, using the intermediary platform for the on chain attestation through database and the nodes with Blockchain mode, then to form “Blockchain+” solution. During the whole process, the core point called “Multi-route on chain”. All these information will be on  Bitcoin chain, Factom chain, Ethereum chain, as well as its own chain “Baoquan chain”. Then to realize the characteristics of  immutability, unforgeability, transparency and traceability, finally to the “Blockchain+” service.

•  Blockchain has the technical credibility, but why should costomers believe in your company?

Blockchain is a credibility system by using cryptography technology, then the data and information is still in the developing company. The customers may have painful anxious on judicial ways. Whether have the right to retrieve data? In order to obtain the confidence from the market, Baoquan.com has accessed to the judicial expertise centre, nortarization institute and arbitration institute, then to form a entire closed cycle for Blockchain+ Judicial+ Nortarization+ Arbitration, not only to ensure the credibility, but also with judicial credibility. 

Actually, the trustworthy certificate has many breakthrough points. Baoquan.com adds the Blockchain attestation that based on the electronic signature, then combined with judicial expertise and arbitrate, binding with the financial scens, finally to form a closed solution circle. That’s the superiority of Baoquan.com compared with other companies.

Yu Xuemai: Sharing the trustworthy Internet infrastructure with bank staffs from Yaan City

Today,  vistors from the people’s Bank branch in Ya’an City and Finance Association of Ya’an have a banking training class in Hangzhou, which is organized by Zhejiang University. Shuqin Tech and Shuniu Tech entertained 70 staffs from banks and financial institutes together. During the training, the co-founder Yue Xuemai of Baoquan introduced Blockchain, and the development background of the trustworthy Internet infrastructure, as well as the technical character and application value.

 Yu Xuemai started from the origin of Blockchain technology, and the rich value of Bitcoin. He quoted the topic of the four assets beating HKNPL machine, for the past 30 years, the circulation growth of M2 has over 280 times, and the annual compound growth rate has reached 21%. However, from the first transaction price in August,2010,  it has up to 30 thousand times, discount for the growth rate of 20% to 30% for the nearly 30 years. And only in the past two years, the currency price also rose nearly 10 times. Meanwhile, the supporting infrastructure for the myth of wealth is the underlying technology—— Blockchain.

Blockchain technology was first applied in Banks, to solve the accounting issues by blockchain technology. For the traditional ledger of bank, data auditing requires a lot of manpower for the repeated reconciliations, and customers can only rely on the bank account, the centralized operation, so as to the problems of user account. However, the sharing ledger based on Blockchain technology, is a distributed ledger, just need to find any network node can be verified, and the accounting right in the network would be assigned randomly.

As for a Zhejiang local blockchain enterprise, Shuqin is devoting to solve the practical problem by blockchain technology with the core business on the financial service. Baoquan.com as the first product in electronic data attestation, applied the distributed and decentralized characteristics of blockchian technology to provide the one-stop service for enterprises and personal. Big data exchange centre as the core project, using blockchain technology to ensure the authenticity and safety of data sources, and achieve the transparency of chain-trading, then to realize the goal of real-time traceability for the data sources and trading information.

What is the future for ICOs?

In a recent blog post from Brayton Williams of Boost VC---he has announced that the San Mateo – based venture capital firm will start investing in Intitial Coin Offerings(ICOs). Boost VC has invested in more than 180 companies and being deeply involved in Blockchain technology for over 4 years and they plan to find low level protocol stack to help build out decentralized Internet, then to developer a new encryption currency with low volatility. They also try to develop tools for running distributed autonomous organizations, and develop new governance models.

ICO(Initial Coin Offering), starting from the initial digital encryption currency as a return to the way to financing. In essence, ICO is belonging to “Public Offering”, and turning the issue subject from the stock into digital encryption currency. Of course, so far ICO has only been invented for a brief time. But we also should take care of ICO, a project in its inception has many flaws and we can see the following major risks.

• Free from auditing and custody. Nowadays, a standard ICO only need release a white paper and then ends when the project is launched. There still lack of the certain rules. Recently, people are crazy for ICO to collect money, and more and more currencies have been developed.
• Over-commitment. ICO is some ideas and plans that written in paper and then people need to pay real money. Of course, questions remains with its materialization.
• Over-pricing. There is no detailed or convincing pricing mechanism so far. And the price is determined by their own understanding or based on the project need. Therefore there might be issues for over-pricing.
• Too optimistic investors. Most investors are too optimistic to the growth of ICO and pay more attention on them. However, it couldn’t sustain the stable growth in the long run.
• Risk-control measures. It is difficult for investors to control the project. The future for ICO is uncertain. And there is no financial institutes to control the risk, meanwhile, the developers are not sure for the future developments plans. So the investors are in a dangerous form without risk-control system.

Shuqin Tech is a Blockchain company in China, which has made research in Blockchain solutions in financial and non-financial fields. More detailed solutions, please visit :

https://www.baoquan.com/en/

Bitcoin closing up 60 percent， CEO Gao Hang of Baoquan for the interpretation

Recently, the price for Bitcoin can be described as “crazy”. On May 19, the price of Bitcoin in dollars has over the highest price of gold, and exceeding 2000 dollars on May 21 for the first time, then increased to 2300 dollars on May 22, closing up 60 percent  in one month. The CEO Gao Hang was invited for the interpretation by Hangzhou daily news.

Gao Hang said, on the one way, the virus incident shortly before which has great influence on Bitcoin; On the other way, the market risk control and the legalization process also contribute immeasurably to Bitcoin. The cashability of Bitcoin can be available in anywhere and anytime, so for the assets, holding Bitcoin may take the uncertainty of market and economic. It can be found that the Bitcoin price is always related to some international events.

Due to the foreign investors?

As a kind of virtual  goods, Bitcoin is produced by the powerful computing ability of computer. The computer for producing bitcoin called miner, computing ability means the output ability for producing bitcoin. Then Gao Hang explained, with the rapid growth of users, the credibility for Bitcoin has become more and more strong. In addition to the promoting from market risk aversion, Bitcoin on the international way for legalization is also an important reason.

What should ordinary investors do?

For the crazy trend, Gao Hang encouraged that the ordinary investors should learn the underlying technology of Bitcoin before participating in the market. And the financial institute is still unable to participate in in China, so it is still in the stage of large-scale economic experiments.

Finally, Gao Hang introduced Shuqin Tech, which is a blockchain company for e-data attestation, to issue a trustworthy electronic certificate, then to promote the construction of credit society. He also encouraged users pay more attention to the development of Blockchain.


More detailed solutions:
https://www.baoquan.com/en/

Distributed Ledger VS Traditional Ledger

For the traditional ledger, always has only one copy ledger or more than one, but it is designed to impose restrictions on owners. However, the distributed ledger can allow multiple ledgers existing in a distributed way and maintaining the ledgers for users at the same time. According to the recording way, the distributed ledger can be further divided into two categories.

In a distributed ledger, the first is to allow only credible person to keep accounts, and the second is for anyone. As we know, Bitcoin is belonging to the second category. Compared with the centralized traditional accounting, Bitcoin has come to another extreme——the distributed accounting, so as to bring many problems like the more vulnerable attacks. At present, the block chain technology prefers to use the first category, randomly select the accounting owner from the trusted nodes. That is to say, each node has its own credit rating to know whether it is suitable for accounting. Meanwhile, the credible nodes learn nothing about accounting, it is decided by a random algorithm.

The distributed ledger has four characteristics:

• First, allow multi-ledgers;
• Second, the ledger itself is protected by cryptography;
• Third, the maintainer of the ledger is determined by distributing consensus algorithm;
• Fourth, the credibility of the ledger is proved by mathematics, and the algorithm is opened, then the strength of reliability can be designed according to the different application requirements.

Type	Traditional Ledger	Distributed Ledger
Shared Mode	Non-shared/ Authorized sharing	Multi-party distributed sharing
Storage Mode	Centralized storage、Single copy	Distributed Multi-copy
Verifying & Audit	Audited by center through process	Audited by all participants through algorithm
Accounting Right	Specified by center	Specified by distributed consensus algorithm
Cryptography Protect	Cryptography	Public key+Private key+Hash chain+ Multi-party signature
Real-time	Several days-Several seconds	10 minutes-Several seconds
Maintenance Cost	1	1/10-1/100

Compared with the traditional ledger, the characteristics of real-time and maintenance cost for the distributed ledger has determined its superiority. For the real-time side, the process of verifying and auditing takes long time in a traditional way, even for several days, but it will be very fast in a distributed way. And then the issue for information transferring is no longer a factor. For the maintenance cost, the foreign banks have drawn a conclusion,  if the distributed ledger can substitute the traditional ledger, then the maintenance cost can be reduced to the one tenth even to one percent of the previous.

More detailed solutions:
https://www.baoquan.com/en/

Shuqin cooperates with Xingrun Jiayuan, developer on Blockchain + Big data

On May 19, 2017， a stratiegic cooperative agreement between Beijing Xinrun Jiayuan Tech and Zhejiang Shuqin Tech has been signed at Beijing. By this cooperation, with the help of billeteral thecnical advantage sharing, both parties will push forward the process of blockchain and bigdada applications on government and financial industries together.

With the rapid development of technology in Internet era, the hidden features in life can be shown through data, the system should deal with the vast amount of cloud data, and who is the producer, it is person. Meanwhile, the biggest problems are the data transfer capacity and efficiency, and the issue for data security also has been exposed which is accompanied by the advanced developed technology. If we can make use of the produced data, then for data analysis, it is undoutebtedly to promote the development of the digital informatization world. Therefore, how to do well in the data collection job, and apply it into the appropriate scenarios, and thus to solve the issues of information secutity in the Internet age, which has become a hot research topic today.

Blockchain technology is burning up followed by Bitcoin, from such application scenes, both in the financial field or non-financial field, have the preliminary application results. Even the technology is not matured, and its stability and applicability of the underlying technology has yet to be developed, whatever, the special encryption methods can realize the node-to node  transferring of value without any intermediary with free circulation, which has become the biggest highlight of blockchain technology, but also become the important means to solve the trustworthy issue in the digital era. So the combination of big data and Blockchain is the key point to promote the cooperation between Shuqin Tech and Xingrun Jiayuan Tech.

Xinrun Jiayuan is a company that service-oriented with technology, providing the solutions for users such as system integration, data processing, data analysis, etc. And it has owned IBM awards for many times. It also has a long-term relationship with IBM, and provides the project equipments for government which has through the international quality management system certification(ISO9000：08907Q0134R0S).

For a long time, Xinrun Jiayuan has sophisticated experience on indusrial application, system itergration, software developing and project consultancy. Hence, it has formed a systematic technical service management which involves industries such as finance, insurance, central governments, educational governance bodies, intellectuall property bureau etc. With fully understanding of those industries, Xinrun Jiayuan has been approved by clients from those industries with great reputation.

Shuqin Tech is a Blockchain startup with many years of research experience on blockchain underlying technology. As the first product, Baoquan.com  started for e-data attestation, using the characteristics of immutability and traceability to ensure data security, meanwhile, combined with judicial expertise centre to make the issued certificate has force of law, further to enhance the security capability.  For the data analysis research, it has set up a professional team for data modeling, and cooperates with other enterprises to promote the big data application with Blockchain.

For this cooperation, both parties will promote the blockchain technology and big data access technology in the governmental boyies and insurance industry, using their own respective advantages to realize the integration of market resources, at the same time, using the advanced technology for data modeling to improve the utilization of data. The service platform that based on Blockchain,  not only the data security can be ensured, the efficiency of data circulation also can be improved. For the access of big data, it can provide a strong guarantee for the construction of digital integrity world.

MP Philip Dalidakis：The cyber security is the infrastructure of Fintech development

On Monday after noon, the delegates from Australian Government, Australian Trade and Investment Commission, ADCCA(Australian Digital Currency Commerce Association) as well as Victoria State Government visited the Fintech Association of Zhejiang and discussed the development of fintech and blockchian with industrial leading local companies. Cofounder of Shuqin Tech, Xuemai Yu was also invited to present the developing fintech especially blockchain industrial in Zhejiang Province.

A internal discussion about the current condition and future plan for blockchain industry was firstly held in the meeting room of Fintech Association of Zhejiang, among Nick Giuretto, the Chief Executive of ADCCA, Ronald Tucker the Chairman of ADCCA, Jianke Chen the Chief Executrive of Fintech Association of Zhejiang, Songhua Tu, BD of Canaan Creative, Zhibei Yu from Yunphant, Linchuan Zeng from Ginkoo as well as Xuemai Yu from Shuqin tech.

Ronald Tucker as the Chairman of ADCCA as well as the founder of Bit Trade lab, which is the first bitcoin exchange platform in Australia, said the cryptocurrency and blockchain industry in China has been developed in an impressive fast way, therefore, ideas and thoughts are valuable from Chinese blockchain entrepreneur. He then asked Hangzhou entrepreneurial delegates what is the business and market vision of Chinese blockchain startups, since in Australia most of the startups are focusing on the global market from the very beginning. Xuemai Yu first answered that since blockchain is a global technology supported by international community, working in this area should have an genuine international market view, however, for the limited human resources and capital supports, the first market for local blockchain startups are mostly local Chinese clients. Xuemai also added that the Chinese market focusing strategy on the other hand is also because the fast developing country as China is already providing a large amount of opportunities to be explore. Zhibei Yu from Yunphant agreed and said the Yunphant has close partnership with National University of Singapore on blockchain research and development, In the future he believe oversea market will definitely be worthwhile to expanding.

Nick Guretto as the Chief Executive of ADCCA also explained the goal of ADCCA to promoting the blockchain industry. He thought a better developing environment requires three key aspects of multilateral consensus, one is the business collaboration which is to exploring the real user cases, markets and clients for blockchain technology; secondly is the technology standards that help global community work on the same goal, ADCCA has already play a key role in global technological standard forum for blockchain; thirdly is the alignment of regulations toward this technology, and the Australia government recognition of bitcoin from 1^st of July was one big achievement made by ADCCA.

During the banquet session in the evening, the MP and Minister for Small Business, Innovation and Trade of the Victorian State, Philip Dalidakis introduced the fast growing Victorian State to all attendees. He said the Victorian State is the fastest growing state of Australia and with lowest job loss rate. The state government has listed the Fintech as one of the top industry for promoting and supporting. The Victoria state government has established an industry park and incubator to attract global blockchain innovators to start their entrepreneurship there. The capital city of the state which is Melbourne is become the third largest Fintech bay around world following New York and London. He said the key advantage for Victorian State and Melbourne on the fast growing of Fintech area is because before anyone was talking about Fintech, the government has put much more effort on the cybersecurity system, and the hacking problem on last weekend just proved how cyber security is important for modern digital world, therefore, with a robust cyber security infrastructure Fintech industry could expending with a much more healthy and fast growth rate.

Xuemai Yu representing Shuiqin tech also explained the understanding of blockchian application for Shuqin Tech. Although the distributed ledger technology or blockchain could save much of the middle man cost, he said, however, most people may ignore the cost of replacing the old centralized systems. For banking and public sectors nowadays they are even sometimes using technology inherited from the 80s, so a “disruptive technology” not necessarily or should not really server as a sudden disruptor for the users. That is the reason for Shuqin tech to start on data notary function of the blockchain, by constructed an easy-to-access API platform any conventional centralized system is able to anchor there data onto the blockchian for the immutable, trackable and verifiable features, and once the underlying work flow data is on the blockchain the intuition for them to move the work flow on the blockchain step by step become then easier. Xuemai also added, for an advanced technology to be accepted, solely spreading the concept was not enough, some real acknowledgement from those “centralized third-parties” is definitely nessasry at this early stage for proving the capability of blockchain, hence, Shuqin tech partnered with Chain forensic a local juristic forensic institutions to recognition the blockchian data attestation as a legal bind technical tool for preserve electronic evidences.

Ginkoo, Yunphant expressed their understanding and practice as well, they are respectively serving on traditional banking sectors and infrastructure level blockchain technology, and the discussion and brainstorming was very vivid. At the end the Fintech Association of Zhejiang announced that in the later this year a group of entrepreneur delegates as well as Zhejiang government will be organized together to visit and learn from the Victorian State.

Cooperate with GOVCHINA, to explore the new model for “Blockchian + IT Governance”

Nowadays, IT system and Internet have made great changes in all aspects of social industry and people’s lives. Even it can break through the limitation of time and space, the dangers and vulnerability in the digital world also will be enlarged. In the intangible and changeful world, people can falsify or delete data under the anonymous case, even spreading a computer virus, which is a problem that should be solved quickly in the digital society. Therefore, under the informatization background, the effective IT theory should make connection with practical system to promote the development of society, then to perfect the modern governance structure.

As the infrastructure system for the next generation of truted Internet, Blockchain will be the key to solcing the credits problems in the digital world. However, the application of blockchain technology is still in relatively early validation phase, some issues like compatibility, expansibility, privacy, security were strangling the major deployment in financial and government fields. How to transfer the trusted Internet technology to the effective means for IT governance, then to construct a autonomous system for IT governance, which has become the cooperation opportunity between GOVCHINA and Shuqin(Baoquan.com).

GOVCHINA, an independent professional research institute for IT governance in China, which is a platform for IT governance consulting and product innovation. And it provides services for government and the industries that rely on information system, to optimize the IT governance structure, promote the combination of IT business, control IT risk, then to improve IT value and innovation ability, finally to achieve business goals.

Shuqin, as an early Blockchain startup in China, mainly from the perspective of data security, Baoquan.com as the first product, using the Blockchain characteristics of immutability, transparency and traceability to ensure the uniqueness of e-data, make the digital network world to be trusted. Shuqin also cooperates with judicial expertise centre, which can increase the credibility of blockchain technology. For theory research, Shuqin has published the Blockchain related books and papers. For another, as a member of Blockchain standard construction unit, work together with other units to promote the application of blockchain technology.

For this cooperation, both sides will work through to establish “Financial Data Assets Research Centre”, then to study the financial information service theory, technical specification, market service standards and so on, all these will be based on blockchain technology and big data. The two parties will also combine their own superiority to develop the financial information service market, to establish the blockchain application laboratory and big data transaction laboratory that based on financial cloud platform. For the exploration of new IT governance mode, it will make blockchian technology into the management system and information risk control system of the financial institutes, governments and other enterprises, so as to realize the goal of constructing a credit digital world.

China’s Blockchain industry distribution

In the era of Blockchain 2.0, all the digital scenes can be decentralized, programmed and for the automated storage or transaction by using blockchain technology.  At the same time, the development of  blockchain technology has aroused widespread concern in the world, as well as the broad application scenarios. Blockchain technology also has played an outstanding performance in various fields like digital encryption currency, data storage and authentication, smart contract, smart assets, financial transaction, voting and so on. While there are dozens of  Blockchain alliances both at home and abroad, and Hangzhou Blockchain alliance has been officially founded at the end of April. However, if the technology can not be built on the basis of application or the application of technology is limited, then the development of technology will be limited. In the future, with the combination of mobile artificial intelligence, Internet of things and Blockchain, the characteristics of decentralized, immutability will play an important role in life, which will bring great changes in the industry.

There are more than 70 countries devoting into blockchain technology research, about 80% banks has started Blockchain projects before 2017, among these, more than 90 central banks join the Blockchain discussion, and over 90 enterprises join the Blockchain alliance, which also has produced 2500+ related patents. According to the incomplete statistics of Blockchain Angeles, there are about 1175 Blockchain enterprises in the world. And there have about 95 Blockchain startups in China,  Beijing ranked first about 46 enterprises, Hangzhou and Shanghai in the top 3 for about 17 enterprises. In the different application scenes, blockchain technology will be bound to bring disruptive changes on business model.

From above chart, the top 3 projects are Blockchain developer platform, financial service and Blockchain infrastructure, total proportion has exceeded 50%. On the other hand, for the industry distribution, more and more Blockchain application projects began to appear in our public life, such as digital assets transaction, supply chain, anti-fake & notarization and mutual medical, meanwhile, some other living projects also forward to the matured road.

According to the incomplete statistics, the venture capital for the Bitcoin and Blockchain has over 200, and the Blockchain industry has attracted up to 1.8 billion, while the VC firm have invested about 871 enterprises in 73 different countries. From the above  chart, we can find that the Blockchain startups are mainly concentrated in America and England, America accounts for nearly 40%, and China ranks fourth, accounting for about 3.2%. On the other way, America and England are favored by the investors, while China’s financing situation also began to catch up in late 2016.

GBFS (Hangzhou): Shuqin promote Blockchain industry development

As one of the most experienced Blockchain entrepreneurial team, Shuqin has received 25 million yuan (~3.6 million USD) angel round funding recently. The funding was led by Dingfeng Capital, Zhejiang Tsinghua Yangtze River Delta Research Institute of Hangzhou Branch, Jia Hui Ze Co., and Dr. Lu Chunquan. And the Blockchain enterprises in Hangzhou have been noticed at home and abroad in the early before the summit.

On the other way, as a support party for this summit, Shuqin has sent more than 1500 electronic tickets to the participants by blockchain technology. Even one person may buy more than one ticket, all these can be clearly distinguished due to the unique hash value. Moreover, the immutability characteristic of Blockchain not only put an end to the possibility of faking tickets, but also obtain the Blockchain summit ticket for a permanent memento of participant certificate. The Global Blockchain Financial Summit(Hangzhou) as the first summit to create the industry agglomeration from regional to national, therefore, it will be a memorable initiative.

During the summit, Shuqin showed the detailed block for the guests about what data will be included, and how to connect the network nodes. The CEO Gao Hang took all kinds of false and fraud information on the Internet as the opening, using simple language to introduce the uniqueness of cryptography, then to ctreating a digital trust world of the Internet. He also pointed out that Baoquan plays an indipensable role in the evolution of the trusted Internet road.

During the interview of summit, Shuqin also revealed that Blockchain has made a great breakthrough in the protection of intellectual property and the online transaction. Shuqin has reached the cooperation with Hangzhou Shibei, provide blockchain technology for the trusted electronic certificate, underlying support for the efficient ownership of intellectual property and the traceability of authorized suggestion. User can achieve the rights registration in a several seconds by Blockchain, then to issue the digital judicial expertise paper by Chain Forensic Science, providing the judicial protection for digital registration.

Therefore, Shuqin won the prize of technical innovation top 10 based on the electronic certificate product of Baoquan, which is recognized by Zhejiang University, Beihang University, Tsinghua University and other experts organizations.

In addition to the cooperation between enterprises, Shuqin also cooperates with Hangzhou Normal University to build the “Big data + Blockchain collaborative innovation lab”. During the meetup, the CEO Gao Hang of Shuqin, the executive director Xie Qi of Hangzhou Normal University and other participants witnessed the opening ceremony together, and showed the blockchain attestation certificate. For the establishment, Shuqin will provide the technical guidance, which can help university to cultivate talents and serve society, then to achieve the deeper coorperation between the two sides, further to promote the construction of ecology and the development of industry for big data and Blockchain.

As the founder member of the association for blockchain technology and application, Shuqin has engaged in the compiling work for 《Hangzhou Blockchain Industry development report》. During the summit, the co-founder Yu Xuemai explained the report from various angles. For the report, it indicates that the amount of Hangzhou Blockchain enterprises has ranked second, which starting early with strong vitality. Meanwhile, the report also pointed that there is a lack of  policy to support for Blockchain enterprises compared to Shanghai and Beijing. While the summit announced the establishment of association for Blockchain technology and application, also issued the related policy for Blockchain industry, then to promote Hangzhou to worldwide.

As the largest global Blockchain community, Hyperledger also participated in GBFS. The vice president Julian Gordon of  Hyperledger said that China will gradually become the main part of Blockchain commercial community, and Hyperledger also set up a China technical team for communication, further to create an open, secure and stable Blockchain platform in the business environment. Among them, the enterprise certification program of Shuqin which is based on Fabrib has been affirmed as a case.

For the summit,  the talents in various fields have gathered, including finance，technology, Internet, academic institution and government sectors. The Blockchain electronic ticket from Shuqin have been showed for public, as well as Blockchain bill transaction from 33.CN, and Blockchain public welfare from ANT Financial. As a result, the underlying technology for Blockchain has got close to public, "Blockchain + New finance+ Smart life" will become a new label for China’s new Sillicon Valley in Hangzhou.

Baoquan close 25 million yuan angel round funding

27 April, Hanghzou-Baoquan, a blockchchain startup based in Hangzhou Zhejiang, close 25 million yuan (~3.6 million USD) angel round funding recently. The funding was led by Dingfeng Capital, Zhejiang Tsinghua Yangtze River Delta Research Institute of Hangzhou Branch, Jia Hui Ze Co., and Dr. Lu Chunquan. With the 10 million yuan seed round funding in May 2016, Baoquan has received 35 million yuan funding so far.

Baoquan is operated by Zhejiang Shuqin Technology, which was established in May 2016. The company has enjoyed rapid growth as a blockchain Fintech company, aiming to offer blockchain solution for practical issues with more than five years of experience in digital currency and blockchain.
Other than the Baoquan featuring electronic voucher and attestation service , Shuqin also acquired QianXin, a platform that offers blockchain-based legal authenticity service and socialized credit rating product.

Screenshot of Qianxin App

There have been growing demand for accessing external data from financial institutions and other users. Shuqin Technology developed ShuXin, a blockchain-based platform, for mainstream financial institutions in 2017. By merging legal and compliance data from various sources, Shuxin offers big data service in risk-control, anti-fraud and marketing.

Since foundation, Shuqin has been a breakthrough in a number of  businesses:

1. Blockchain trust electronic certificate business in various fields: Internet financial, intellectual property, social public service, etc.
2. Cooperate with judicial expertise center: Blockchain record & verify.
3. Cooperate with Qianmai judicial expertise: the online judicial expertise, service platform based on Block chain, applied in the Zhejiang traffic police system.
4. Blockchain+Big data Product: provide the risk data source for banks, insurance, stock market, etc.
5. As a member of Hyperledger that based on Fabric: set up a underlying research team, develop VeraXChain to meet the self demand.

Dr. Wang Maolu, co-founder and Chief scientist of the company, commented on the funding:

The positioning of big data + block chains is recognized as an effective path for the development of blockchain by the capital market. The combination of big data and blockchain will be an important engine for the development of the company.

Speaking of future development, Gao Hang, CEO of Shuqin Technology said :

In addition to the blockchain plus big data applications, we will soon usher in the booming of opportunities in practical user case. The following 3 core features of blockchain: immutability, distributed ledgers that are transparent and verifiable and traceability will be merged into our product and service.

The report also introduces different entities that participate in the angel round funding.

Life with Blockchain: The first Blockchain e-ticket in Hangzhou

The GBFS(Global Blockchain Financial Summit) was held in Hangzhou by Hangzhou Municipal Government, Zhejiang University, Finance Bureau of Zhejiang ,People’s Bank of China Hangzhou Branch, Yangtze Delta Region Institute of Tsinghua University, Zhejiang. In the summit, there are 10 prizes for blockchain technology innovation and what’s more important is the online registration, the issuance of electronic tickets, all the registration information will be recorded in Blockchain through Baoquan.com, which makes it close to life, then to help people experience the blockchain technology more intuitive.

During the summit, all participants can submit the registration information through the entry channels, then the information can be recorded in Blockchain by Baoquan. And every participant can obtain the attestation certificate for the electronic ticket based on the comfirmed message, all the information about attestation ID, participants name, company name could be included. You also can verify the data consistency and attestation time on Baoquan.com by the attestation ID.

 Baoquan has been working in the field of electronic data security with blockchain technology. For the GNFS, using the electronic ticket, recording the registration information on Blockchain, so as to bring blockchain technology into life, let more people experience the blockchain storage technology, and bring more convenience and value.

For the use of electronic ticket in the summit, the problems of fake tickets and realname authentication can be solved. The state spends a lot of energy and money on ticket counterfeiting issues, meanwhile, Blockchain can use the characteristics of distribution, immutability, transparency to solve these problems, then to help countries and enterprises to save resources.